Fuel prices in the Emirates will reduce for the second month in July, indicating global oil market trends.
The petrol prices have been cut back, while diesel has gone up marginally, WAM reported on Sunday, citing the UAE fuel price committee.
Fuel cost in July
The summary of fuel prices for a liter for July is as follows:
• Super 98: Dh2.99, from Dh3.14 in June (down by 4.8 percent)
• Special 95: Dh2.88, from Dh3.02 in June (down by 4.6 percent)
• Diesel: Dh2.89, from Dh2.88 in June (up by 0.3 percent)
• E-plus 91: Dh2.80, from Dh2.95 in June (down by 5.1 per cent)
Oil prices documented their third weekly gain in a row on Friday amidst hopes with the focus returning to a possible tightening in the supply-demand balance as the world’s biggest economy is expected to soon start long-awaited interest rate cuts.
Brent, the reference price for two-thirds of the world’s oil, ended up 0.02 percent to $86.41 a barrel. West Texas Intermediate, the benchmark for US crude slipped by 0.24 percent to close at $ 81.54.
The former is poised to increase more than 6 percent monthly to reverse May’s losses while the latter is expected to do the same. To the present time, prices of Brent have increased by 12.8 percent while WTI has risen by almost 15 percent.
“Brent oil is trading at between $84 and $86 per barrel although it may test $90 in the third quarter given that the market sentiment has already begun shifting from being bearish to the fairly constructive zone,” said Khoman.
Mr Khoman said this in a research note on Thursday, Brent is backed by strong summer travels in the US, Jet fuel demand getting to its first highest post-COVID, while geopolitical tensions remain on the supply side.
In May, the International Energy Agency also slashed its estimate of oil demand growth this year to 1.1 million barrels per day from 1.255 million bpd, blaming the weakness in developed countries.
However, Opec has projected a 2.2 million bpd increase in oil demand for 2024, citing robust consumption in China and India.
