Fuel Forecast: Possible rollback on diesel, price hike for gas next week

While we can look forward to better weather this weekend than last week, it could be a slightly different story when it comes to fuel prices.

Based on reports, fuel products may have mixed price adjustments for next week. A rollback is projected for diesel, but there could be a slight price increase for gasoline. As to how much, data from our friends over at PH Fuel Watch show a PHP 0.60 per liter rollback for diesel and a PHP 0.70 per liter price hike on gas.

Do note that these figures are still subject to change depending on the outcome of the last trading day for this week, so we will have to wait until Monday for the exact figures for the usual Tuesday price adjustments.

So far, the effect of OPEC's oil production cuts is yet to be felt since China triggered a new set of mobility restrictions that reduced fuel demand in the Asian market. However, the weakening dollar could boost oil demand in the coming weeks as it makes the commodity cheaper for countries holding other currencies.

In the past two weeks, pump prices have rolled back by PHP 1.70 per liter for diesel and PHP 0.60 per liter for gasoline. Should the estimates translate into actual figures, the two weeks of rollback for gasoline can be offset in one swipe. On the other hand, diesel still has a long way to go before it becomes cheaper than gasoline again.