World oil prices started the new week in the green. Domestic oil prices may continue to fall.
World oil prices
According to Reuters, Brent and WTI oil both increased slightly in early trading on March 3.
Last week, both oil benchmarks fell. Brent fell $1.25. WTI fell 64 cents, slipping below $70 a barrel.
Oil prices fell on a number of factors, including weak economic data from the US and Germany that raised concerns about slowing energy demand amid rising supplies from Nigeria and possibly Iraq as it restarts a pipeline from the Kurdish region to Türkiye.
US gasoline and distillate inventories unexpectedly rose by 400,000 barrels and 3.9 million barrels, respectively; especially the heated argument between US President Donald Trump and his Ukrainian counterpart Volodymyr Zelensky, which has threatened to destroy the prospect of a ceasefire agreement between Ukraine and Russia, has pushed oil prices down this week.
The resurgence of trade war fears has also weighed on oil prices amid concerns that the global economy, including the US economy, could see a slowdown in growth while inflation rises. Such a scenario would delay the next interest rate cut by the US Federal Reserve (Fed) and other central banks, according to Oilprice.
Oil prices came under pressure in February as trade war uncertainty overshadowed sanctions-related supply risks, ING commodity strategists Warren Patterson and Ewa Manthey said.
The decline in oil prices was limited by the decision to revoke the operating license of the US-based Chevron Corporation in Venezuela and new US sanctions against Iran, as well as the indecision in the OPEC+ decision regarding whether or not to increase oil production in April.
Last week, data from the US Department of Commerce's Bureau of Economic Analysis showed that consumer spending, which accounts for more than two-thirds of US economic activity, fell 0.2% in January. This was the first decline since March 2023 and the largest decline in nearly four years. In addition, the goods trade deficit soared 25.6% to a record $153.3 billion as businesses imported in bulk to avoid tariffs, causing the economy to grow weakly or even decline in the first quarter of 2025. Notably, core PCE inflation increased 0.3% in January and increased 2.6% year-on-year, down from 2.9% in December 2024.
Although inflation has slowed, progress remains slow, so it remains unclear whether the Fed will cut interest rates, currently at 4.25% - 4.5%, at its next meeting.
Fed Chairman Jerome Powell is expected to provide his own updated views on the economic and policy outlook on Friday, when the government will also release its monthly jobs report for February and data on activity in the services and manufacturing sectors.
Domestic gasoline prices
Domestic retail prices of gasoline on March 3 are as follows:
E5 RON 92 gasoline is not more than 20,658 VND/liter. RON 95-III gasoline is not more than 21,112 VND/liter. Diesel oil not more than 18,957 VND/liter. Kerosene not more than 19,335 VND/liter. Fuel oil not exceeding 17,615 VND/kg. |
The above domestic retail prices of gasoline and oil will be adjusted by the Ministry of Finance and the Ministry of Industry and Trade in the price management session on the afternoon of March 6. Due to the decrease in world gasoline and oil prices last week, domestic gasoline and oil prices are likely to continue to decrease. However, prices may reverse if world gasoline and oil prices increase sharply in the coming trading sessions.
In the most recent price adjustment, the price of E5 RON 92 gasoline decreased by 197 VND/liter, RON 95-III gasoline decreased by 19 VND/liter, kerosene decreased by 178 VND/liter, diesel decreased by 106 VND/liter, and fuel oil increased by 19 VND/kg.
Source: https://baolangson.vn/gia-xang-dau-hom-nay-3-3-tu-tu-tang-toc-5039612.html
Comment (0)