Mixed early fuel picture for June as oil battles Rand - AA

17 May 2021 | From Arrive Alive


Some up, some down – that's the picture for the month-end fuel price adjustment according to the Automobile Association (AA), which was commenting on unaudited mid-month fuel price data released by the Central Energy Fund.
 
At mid-month, the AA is forecasting a slight decline of about one cent a litre for petrol, while diesel is set for a 20 cents-a-litre increase, with illuminating paraffin indicating a rise of 25 cents.
 
"After several weeks of stability, international oil prices have started to climb again, with a slight peak in the first week of May before a modest pullback. Although there is still a re-balancing of global supply and demand taking place in oil markets, the current variations are starting to more closely resemble the picture we saw before the COVID-19 pandemic. This suggests that normal market forces are increasingly gaining the upper hand over last year's disruptive gluts which led to astonishing sub-zero prices for West Texas Intermediate (WTI) oil." says the AA.

However, the AA notes that oil prices are still vulnerable to lockdowns caused by resurgences of COVID-19, in particular new variants of the virus. 
 
"Nothing should be taken for granted until the global vaccination drive has surpassed the threshold needed for herd immunity," says the AA.

The AA says the Rand's surprising strength is helping to offset the oil price gains. 
 
"Although the daily exchange rate has been wildly variable, the average rate has seen the local currency gain around twenty cents against the US dollar since the start of May. This means a nett gain of around 11 cents against the dollar,” notes the Association.
 
The Association further notes that while the mid-month picture is indicating certain movements now, these are likely to change before the official adjusted price for June is announced by the Department of Mineral Resources and Energy later this month.
 
"The oil-versus-Rand see-saw will likely continue through the rest of May, and the month-end picture may be somewhat different to what's currently being seen," the AA concludes.
 

Share This Page

Tell a friend icon Tell a Friend | Fax machine icon Print this Page

News Articles

25 Jun 2021 | From Arrive Alive
Paramedics from Emer-G-Med responded to a collision on the corner of AG De Wit & Kloof Road. No injuries on scene. Emer-G-Med
25 Jun 2021 | From Arrive Alive
Limpopo: Road crash on the N1 North at Bylsteel No fatalities 4 Persons injured Traffic Policing Affairs Limpopo
25 Jun 2021 | From Arrive Alive
Emer-G-Med responded to the corner of Republic Road and Kent Street in Randburg for a collision. On arrival, we treated and transported four patients. One patient required ALS intervention. Local authorities were on the scene for assistance and further investigations.
25 Jun 2021 | From Arrive Alive
Earlier this morning there was a vehicle rollover on the N2 below the Mowbray bridge. 8 Patients with mild to moderate injuries transported to the hospital. Lima Charlie 1
24 Jun 2021 | From Arrive Alive
KwaZulu-Natal MEC for Transport, Community Safety and Liaison, Ms Neliswa Peggy Nkonyeni will tomorrow, 25 June 2021, engage young people on economic and employment opportunities within the transportation sector as part of a series of government’s youth month commemoration programmes. The Information
24 Jun 2021 | From Arrive Alive
Paramedics from Emer-G-Med responded to a collision on the corner of Herman & Corobrick Road. One patient with mild injuries went privately to the hospital. Emer-G-Med
24 Jun 2021 | From Arrive Alive
On Wednesday just before 17:00 our Volunteer Emergency Medical Response Unit team was called for a jogger that was hit by a vehicle on Solomon Mahlangu drive in the Faerie Glen area of Pretoria. On arrival we found the jogger sustained critical injuries and was transported to a specialist trauma hospital
24 Jun 2021 | From Arrive Alive
Three men, believed to be between 40 and 50, were injured last night following a collision between two vehicles on the R563 in Krugersdorp. ER24 paramedics arrived on the scene to find the local authorities already in attendance. Two vehicles were found lying on the side of the road. Medics assessed
24 Jun 2021 | From Arrive Alive
Yesterday, 23 June 2021, at 19:10, police officers from the Provincial Trio Task Team were conducting patrols along Mhlongo Road in Lamontville when they received information about a hijacked vehicle that was driving around in Lamontville. The information was followed up and the area was patrolled.

News Archive

Home  |  
Contact  |  
Browser  |  
Disclaimer  |  
CMS  |  
© 2021 - All Rights Reserved www.arrivealive.co.za