The barrel price of Brent oil, which is the reference in Europe, is trading around $89.5 this Friday, with an increase of nearly 4 percent. If the session ends at $90, this would mean a weekly increase of 6.6%.that is, since the beginning of the war between Israel and Hamas.
Brent barrels for delivery in December expired on the London futures market this Thursday. $85.98, up 0.19% from the end of the previous session.
The expectation that producing countries organized under the Organization of Petroleum Exporting Countries (OPEC) cartel and their partners such as Russia will continue their production cuts and geopolitical tensions in the Middle East continue to put upward pressure on oil.
countries in conflict, Israel and Palestine are not major oil producers. However, that region is particularly sensitive due to the maritime connection of other countries’ production and transportation to Europe. Palestine does not produce oil and Israel has only two refineries with a total capacity of about 300,000 barrels per day. 40 percent of world exports pass through the Strait of HormuzBetween Oman and Iran.
“Emboldened by the US and secret nuclear talks, Iran has seen its oil exports and production increase by approximately 600 KB per day, reaching 3.2 million production units between late 2022 and mid-2023,” investment bank Citi says in a report.
Gasoline becomes cheaper by almost 2 percent
The average liter price of diesel put an end to the increases it had experienced since the beginning of summer and recorded its first decrease in fourteen weeks. Gasoline also entered a downward trend last week for the first time in three months. .
Compared to seven days ago, diesel prices decreased by 0.3 percent to 1,682 euros per liter, while gasoline decreased by 1.86 percent to 1,719 euros. European Union Petroleum Bulletin.
In any case, the price of both fuels continues to be above the levels before the start of the war in Ukraine due to the Russian occupation, which started on February 24, 2022, and for diesel it was 1,479 euros. per liter, and for gasoline it is 1,594 euros per liter.
At current prices the cost of filling an average 55-litre petrol tank is currently approximately 94.5 euros compared to 83 euros (11.5 euros less) How much did it cost this time last year, including the 20 cents per liter discount in effect a year ago?
In the case of diesel, filling an average tank of 55 liters currently 92.5 euros, one and a half euros less than 91 euros How much will it cost in the same period in 2022, including the discount at that time?
Gasoline and diesel price is affected by multiple factorsSuch as its specific price (independent of oil), development of crude oil, taxes, cost of raw materials and logistics, and gross profit margins. In addition, the change in crude oil prices is not directly reflected in fuel prices, but is reflected with a delay of several weeks.
Source: Informacion
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