Gas Price Movement-April 2, 2020

April 02, 2020

Brent Oil
Brent oil prices increased by 0.38% or US$0.10, as prices rose this week relative to the prior week. Oil traded on April 02, 2020 at a price of US$26.44 per barrel relative to US$28.34 on March 26, 2020. Brent oil opened 2020 year at US$66.25 per barrel.

Petrojam prices
87 Octane prices decreased this week by 3.61% (JMD$4.48). Additionally, 90 Octane decreased by 3.54% or (JMD$4.50) this week. 87 Octane and 90 Octane opened the year 2020 at J$127.27 and J$130.11 respectively and now trades at J$119.70 and J$122.52 per litre respectively.

Figure 1: Petrojam, U.S. Gulf Coast Conventional Gasoline Regular, and Brent Crude Oil Price History

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U.S. average regular gasoline and diesel prices decrease
On March 30, 2020, it was noted that “the U.S. average regular gasoline retail price decreased almost 12 cents from the previous week to $2.01 per gallon, 69 cents lower than the prior year.” The Midwest price decreased over 14 cents to $1.74 per gallon, the Rocky Mountain price declined over 13 cents to $2.11 per gallon, the West Coast price fell almost 12 cents to $2.76 per gallon, the East Coast price decreased over 10 cents to $1.98 per gallon, while the Gulf Coast price fell close to 10 cents to $1.76 per gallon. The average diesel fuel price in the U.S. decreased over 7 cents to $2.59 per gallon relative to the previous week, and 49 cents lower when compared to the same period last year. The West Coast price declined by more than 12 cents to $3.13 per gallon, the Rocky Mountain price fell close to 9 cents to $2.59 per gallon, the Gulf Coast price decreased by almost 8 cents to $2.36 per gallon, the Midwest price declined nearly 7 cents to $2.43 per gallon, whereas the East Coast price fell over 5 cents to $2.67 per gallon.

Inventories for Propane/propylene decrease
There was a decrease in U.S. propane/propylene stocks last week by 0.3 million barrels to 64.7 million barrels as of March 27, 2020. This was 14.4 million barrels (28.7%) higher than the five-year (2015-2019) average inventory levels year over year.

Additionally, Gulf Coast inventories fell by 0.5 million barrels while East Coast inventories decreased slightly, remaining relatively unchanged. However, Midwest and Rocky Mountain/West Coast inventories rose by 0.2 million barrels and 0.1 million barrels, respectively. Propylene non-fuel-use inventories represented 8.6% of total propane/propylene inventories.

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