World oil prices go up, domestic prices may be mixed

Specifically, Brent oil price increased by 1.42 USD, equivalent to 1.7%, to 82.61 USD/barrel. US WTI oil price increased by 1.45 USD, equivalent to 1.9%, to 77.86 USD/barrel.

Brent oil price is trading at 82.61 USD/barrel. Photo: screenshot

According to analysts, oil prices increased due to the possibility that the Organization of the Petroleum Exporting Countries and its allies (OPEC+) will continue to cut production due to signs that supply is exceeding demand.

OPEC+ will hold a virtual ministerial meeting today to discuss production targets for 2024. Many opinions say that OPEC+ may extend the previous agreement instead of cutting production deeper.

Meanwhile, a report from the US Energy Information Administration (EIA) on November 29 showed that crude oil reserves increased by 1.6 million barrels, distillate products increased by 5.2 million barrels and gasoline inventories increased by 1.8 million barrels.

The EIA report contrasts sharply with the American Petroleum Institute (API) report, which said U.S. crude inventories fell by 817,000 barrels in the week ending November 24.

Also according to Reuters, a major storm in the Black Sea region has disrupted exports from Kazakhstan and Russia by up to 2 million barrels of oil per day.

Kazakhstan’s largest oil fields have cut their daily oil output by 56 percent since November 29, and are expected to remain so until December 3, due to the storm, raising concerns about a short-term supply squeeze.

Additionally, a weaker US dollar also supported oil prices, making oil cheaper for holders of other currencies.

The US dollar fell to a three-month low after US Federal Reserve Governor Christopher Waller stressed the possibility that the Fed will cut policy interest rates in the coming months if inflation continues to fall.

Domestically, retail gasoline prices will be adjusted during the price management period of the Ministry of Finance - Industry and Trade.

According to analysts, although world oil prices decreased slightly last week, the acceleration in the trading sessions on November 28 and 29 could cause gasoline prices to fluctuate by about 150 VND/liter (kg).

Since the beginning of the year, gasoline prices have undergone 33 adjustments, including 18 increases, 11 decreases, and 4 unchanged.

The retail price of gasoline in the country on November 30 is as follows: E5 RON 92 gasoline is not more than VND 21,690/liter; RON 95 gasoline is not more than VND 23,024/liter; diesel oil is not more than VND 20,283/liter; kerosene is not more than VND 20,944/liter; fuel oil is not more than VND 15,638/kg.

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