Pump prices to go down next week

MANILA, Philippines — After four straight weeks of increases, fuel prices are expected to go down by as much as P1.15 per liter next week, according to the Department of Energy (DOE).

Based on the four-day trading, DOE-Oil Industry Management Bureau assistant director Rodela Romero estimated a rollback of P0.70 to P0.90 per liter for gasoline.

Meanwhile, pump prices for diesel and kerosene are seen declining by P1 to P1.15 per liter.

“Firstly, crude falls on weak China inflation data, pointing to soft consumer confidence and the potential stimulus measures from Beijing to boost demand,” Romero said.

China’s consumer prices edged 0.2 percent higher year-on-year last month from the 0.3 percent increase in May, continuing over a year of weakness.

“Secondly, apart from shipping delays and platform evacuations, Hurricane Beryl seems to have led to relatively little physical damage, allowing the US to recover oil production, offsetting a larger than expected weekly draw in US crude inventories. Thirdly, the dollar contributed to lower oil prices,” the DOE official said.

The final price adjustments will be announced on Monday and will take effect the following day.