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

17 Jun 2021 | From Arrive Alive
Gauteng: At 19H51 Thursday evening Netcare 911 responded to reports of a shooting outside a residence in Evaton, Vereeniging. Reports indicate that an adult male had been shot multiple times while standing on the pavement. When medics arrived on scene they assessed the patient who was found to
17 Jun 2021 | From Arrive Alive
Police in Mpumalanga are looking for suspects who shot and killed a 57-year-old man, who was previously arrested on several allegations related to rhino poaching cases which are currently before the High Court. The man's killing occurred earlier today, 17 June 2021 at Hazyview. The deceased was
17 Jun 2021 | From Arrive Alive
Earlier tonight there was a collision on the Stellenbosch Arterial, Blackheath. 2 Vehicles involved. 1 Patient with minor injuries One Fatality Lima Charlie 1
17 Jun 2021 | From Arrive Alive
KwaZulu-Natal: At 19H10 Thursday evening Netcare 911 responded to a shooting at a residence in Umlazi D-section, Durban South. Reports indicate that and adult male and adult female had been shot when gunmen entered their property and opened fire. Netcare 911 paramedics assessed the scene and found
17 Jun 2021 | From Arrive Alive
Operational ready operations under the banner of Lockdown II in the Western Cape led to the recovery of drugs and stolen vehicles. An intelligence-driven operation in Harare on Tuesday, 15 June 2021, led the convoy to a house in Ahmed Kathrada Street, Mandela Section. Upon entering the dwelling, a
17 Jun 2021 | From Arrive Alive
Paramedics from Emer-G-Med responded to a motor vehicle collision between two light motor vehicles and a heavy motor vehicle. Patients sustained moderate to severe injuries. Two patients were transported to a nearby facility under the care of our ALS.
17 Jun 2021 | From Arrive Alive
Emer-G-Med paramedics were in attendance of a collision involving a light motor vehicle and a cyclist on Venice Road in Morningside. A 19-year-old male has been left with moderate injuries. Emer-G-Med 0861 007 911
17 Jun 2021 | From Arrive Alive
This afternoon Kwazulu Private Ambulance Service responded to the R34 Sandspruit for reports of a collision. When emergency services arrived they found that a vehicle had lost control and overturned. Paramedics quickly assessed the scene and found that 3 patients sustained injuries ranging from
17 Jun 2021 | From Arrive Alive
One person has been left with moderate injuries following a collision between two light motor vehicles at the intersection of Armstrong and Shelbourne Avenues in La Lucia. Emer-G-Med 0861 007 911

News Archive

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