Gasoline & Diesel Prices Rangebound after Rises, Likely to Increase
From April, China’s refined oil prices first fluctuated within a narrow range and then the prices of gasoline and diesel rose to yearly new highs supported by the improved supply-demand relationship, surged gasoline feedstock prices and bullish crude oil market. According to SCI’s statistics, the average wholesale price of China’s 92 RON gasoline at the state-owned refineries was around RMB 7,878/mt, up 43.3% Y-O-Y; that of 0# diesel was RMB 6,321/mt, up 14% Y-O-Y. With the pandemic well under control, the improved fundamentals of gasoline market pushed up the gasoline price greatly to a rational level. Meanwhile, the increment in diesel price was smaller than that in gasoline price due to the decreasing diesel demand caused by the industrial restructuring. Recently, the enlarging price spread between gasoline and diesel implies that the gasoline market enjoys a better profit and performance.
After increasing for consecutive ten days, the average price of oil products dropped slightly from a high level. The reasons behind the decline are as follows.
......
Please click "Read more" for more information
