Tuesday, June 26, 2018

Price changes for Thursday, June 28th, 2018


Hi to all,



Here’s what I have for price changes for Thursday, June 28th, 2018:



*Heating and stove oil to increase by a cent even.

*Diesel fuel to increase by 6/10ths of a cent per litre, and...

*Gasoline shows an increase of 9/10ths of a cent a litre.







Markets show a slight increase in the works



“Expect to see a small increase in prices across the board as markets react to shortfalls of oil in the last days of the pricing session.” That word from George Murphy, group researcher with the Consumer Group for Fair Gas Prices.



“For the first time since the U.S Memorial Day holiday weekend, consumers here will see a slight increase in prices due mainly to sudden shortfalls in expected crude oil output.” Murphy said. “OPEC and non-OPEC suppliers got together last weekend and agreed to supply the markets with an additional million barrels a day to help keep prices at the $70 U.S range where OPEC wants it, but they’re having problems just getting 600,000 barrels back online.”



      Latest word with Libya and Venezuela also spells trouble as they are having issues getting crude into the markets; Venezuela because of civil unrest and Libya, because of fighting that has closed its two major ports for oil export.



      “Enter Donald Trump who has expectations for all European Union nations to adhere to Iranian sanctions that Trump says will be brought in by November 4th, removing another 500,000 barrels from U.S imports,, and you have a recipe for rising prices. To top it all off, draws are expected against U.S West Texas Intermediate crudes as a electrical fire has caused a major disruption of exports of crude from Alberta with the shutdown of Syncrude’s 350,000 barrel a day refinery in Alberta.



      “In very short order, over the past week, we have a shortfall in crude oil that is real, and shows just how sensitive the oil markets really are. While some crude prices have risen sharply, I expect that refined prices will follow soon, but only if inventories of refined products are affected. The truth being that, as some crude oil supply has been hit, consumers may also be at risk in the coming days as supply cannot meet demand in the major refining areas-and it is summer, the time of greatest gasoline demand.”



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For more information, contact:



George Murphy

Twitter @GeorgeMurphyOil

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