Gasoline prices may fall for third consecutive day today

Domestic gasoline prices are expected to decrease for the third consecutive time in the management period this afternoon, September 5.

Specifically, many opinions predict that the price of E5 RON92 gasoline may decrease by 100 VND/liter; RON95 gasoline may decrease by 150 VND/liter and diesel oil price is forecast to decrease by 250 VND/liter. In case the regulatory agency sets aside a stabilization fund, gasoline prices may remain the same as the previous adjustment period, but if used, gasoline prices may decrease more sharply.

Gasoline prices are expected to continue to decrease this afternoon, September 5. (Illustration: Cong Hieu).

Similarly, according to the gasoline price forecast model of the Vietnam Petroleum Institute (VPI), in the operating session this afternoon, September 5, retail gasoline prices continued to decrease from 0.4 - 2%.

Specifically, the retail price of E5 RON92 gasoline may decrease by 199 VND to 20,221 VND/liter, and RON95 gasoline may decrease slightly by about 80 VND to 21,230 VND/liter.

Meanwhile, diesel and fuel oil prices are forecast to decrease the most by about 2%, to VND18,387/liter and VND15,434/kg, respectively. Kerosene prices may decrease by 0.7% to VND19,007/liter.

VPI also forecasts that this period, the Ministry of Finance - Ministry of Industry and Trade will continue not to set aside or use the petrol price stabilization fund. From October 2023 to the most recent management period on August 29, the management agency has not affected this fund 44 times.

Since the beginning of the year, gasoline prices have increased 17 times and decreased 17 times, while oil prices have increased 15 times and decreased 18 times.

During the operating period on August 29, the prices of all types of gasoline and oil decreased slightly. Specifically, E5 RON92 gasoline decreased by 92 VND/liter, not higher than 20,332 VND/liter, the price of RON95 gasoline decreased by 208 VND/liter, not higher than 21,109 VND/liter.

Diesel price decreased by 299 VND/liter, not higher than 18,477 VND/liter. Kerosene price decreased by 84 VND/liter, not higher than 19,065 VND/liter and fuel oil price decreased by 194 VND/kg, not higher than 15,562 VND/kg.

On the world market at 6:00 a.m. on September 5, Brent oil price was trading at 72.7 USD/barrel, down 1.05 USD compared to the previous session. Meanwhile, WTI oil price was at 69.2 USD/barrel, down 1.62 USD/ounce.

Oil prices continued to fall as Libya showed signs of reaching an agreement to resolve the dispute.

Commenting on the drop in oil prices, Charalampos Pissouros, senior investment analyst at brokerage XM, said that China’s manufacturing purchasing managers’ index (PMI) continued to be weaker than expected in August (falling for the fourth consecutive month to a six-month low) which could raise concerns about the performance of the Chinese economy .

According to Reuters , gloomy data from the US and China showed weak global oil demand. In August, China's manufacturing activity fell to a six-month low amid slowing growth in new home prices. Similarly, data from the US Institute for Supply Management showed that US manufacturing activity remained sluggish.

Regarding US oil inventories, according to the American Petroleum Institute, US oil inventories fell by a shocking 7.4 million barrels in the week ending August 30, more than nine times the 900,000 barrel decrease forecast by analysts. Gasoline and distillate inventories fell by less, by 300,000 barrels and 400,000 barrels, respectively.

Source