September’s average price for Brent oil was over $73, down from August’s $78.63 per barrel.
Given that the price of oil remained low globally in September, gasoline prices in the United Arab Emirates may decrease in October.
September’s average price of Brent oil was around $73 per barrel, down from August’s $78.63 per barrel. This decline was caused by a number of factors, including rumors that Saudi Arabia was going to raise production and tighter supplies.Following the revelation last week that Saudi Arabia was intending to raise output and abandon the $100 per barrel aim, the price of oil dropped by more than 4 percent in just two days.
Over the weekend, WTI and Brent finished at $68.81 and $71.98 a barrel, respectively.
The UAE deregulated gasoline prices in 2015 and synchronized them with international rates; as a result, monthly revisions are made to the rates. Tomorrow, the UAE’s Fuel Price Committee will formally declare retail prices for gasoline and diesel in order to bring them into line with international prices.
Super 98, Special 95, and E-Plus had their prices reduced to Dh2.90, Dh2.78, and Dh2.71 per liter in September, respectively.
Oil investors were not particularly encouraged by the OECD’s optimistic prognosis, the escalating hostilities in the Middle East, the sharp decline in US oil stockpiles last week—which brought them to their lowest points in two and a half years—or by China’s large stimulus package. Once more, US crude fell below $70, and there is still noticeable selling pressure this morning. Despite factors that underpin prices, investors are nonetheless cutting back on their net speculative long holdings in oil, according to Ipek Ozkardeskaya, senior analyst at Swissquote Bank.
