Will gas prices drop after the holidays?

According to the joint plan of the Ministry of Industry and Trade and the Ministry of Finance , the retail price of gasoline will be adjusted tomorrow afternoon (May 5) because Thursday (May 1) is the International Labor Day holiday (ie the second day of the April 30 - May 1 holiday).

The leader of a major petroleum distribution company in the South said that after the previous adjustment period, crude oil prices fell sharply across the board. Therefore, domestic gasoline prices are likely to decrease in tomorrow's adjustment period.

Specifically, gasoline prices are expected to decrease by about 100-450 VND/liter, diesel may decrease by 150-350 VND/liter. In case the Ministry of Industry and Trade and the Ministry of Finance jointly use the Price Stabilization Fund, gasoline prices may decrease less.

In addition, the owner of a petroleum distribution company in the North also predicted that petroleum prices will decrease in tomorrow's operating period. On May 2, the discount on petroleum at some warehouses reached 1,100-1,600 VND/liter.

If forecasts are correct, domestic RON 95 gasoline prices will reverse after just one increase. Currently, this fuel price is still at its lowest level in the past 4 years, equivalent to May 2021. Since the beginning of the year, RON 95 gasoline has increased 9 times, decreased 8 times. Diesel has increased 8 times, decreased 8 times and remained unchanged once.

In the most recent adjustment period on April 24, the management agency decided to increase the price of E5 RON 92 gasoline by 740 VND/liter to 19,230 VND/liter; RON 95 gasoline increased by 780 VND/liter to 19,630 VND/liter. Similarly, diesel increased by 490 VND/liter to 17,520 VND/liter, kerosene increased by 530 VND/liter to 17,710 VND/liter; and fuel oil increased by 560 VND/kg to 16,520 VND/kg.

In the world market, oil prices have recently continuously decreased due to the cautious market sentiment before the OPEC+ (Organization of the Petroleum Exporting Countries and allies) meeting on production policy, along with concerns about the global economic recession.

OPEC+ has decided to increase oil production by 411,000 barrels per day in June despite falling oil prices and concerns about weak demand. According to the assessment of the group of oil producing countries, the global oil market is still maintaining a stable foundation with solid fundamentals, while inventories remain low, according to Reuters.

US President Donald Trump has also called on OPEC+ to increase oil production and threatened to impose secondary sanctions on buyers of Iranian oil. These moves have added pressure on oil prices.

According to Trading Economics data, at 10:00 a.m. on May 4, WTI oil was trading at $58.29/barrel, down 7.51% from last week; similarly, Brent oil was also at $61.29/barrel, down 6.85%.

Source: https://baohatinh.vn/gia-xang-se-giam-sau-nghi-le-post287145.html