Brent oil prices increased by 5.18% or US$2.12, as prices rose this week relative to the prior week. Oil traded on October 8, 2020 at a price of US$43.05 per barrel relative to US$40.93 on October 1, 2020. Brent oil opened 2020 year at US$66.25 per barrel.
87 Octane prices decreased this week by 2.70% (JMD$3.06). Additionally, 90 Octane decreased by 2.63% or (JMD$3.06) 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$110.24 and J$113.08 per litre respectively.
Figure 1: Petrojam, U.S. Gulf Coast Conventional Gasoline Regular, and Brent Crude Oil Price History
U.S. average regular gasoline price increase and diesel prices decreases
On October 5, 2020, it was noted that, “The U.S. average regular gasoline retail price increased less than 1 cent, remaining virtually unchanged at $2.17 per gallon on October 5, 47 cents lower than the same time last year.” The East Coast price increased greater than 2 cents to at $2.13 per gallon, however, the Gulf Coast price declined less than 1 cent to $1.83 per gallon. Also, the Midwest and West Coast price decreased by a cent to $2.05 per gallon and $2.81 per gallon, respectively. The Rocky Mountain price each decreased more than 2 cents to $2.27 per gallon.
The average diesel fuel price in the U.S. declined less than 1 cent but remained stable at $2.39 per gallon as at last week, and 66 cents lower when compared to the same period last year. The Gulf Coast price declined more than a cent to $2.14 per gallon. While, the Rocky Mountain price declined less than 2 cents to $2.32 per gallon, however, the East Coast and West Coast price were stable at $2.47 per gallon and $2.93 per gallon, respectively.
Inventories for Propane/propylene decreases
There was a decrease in U.S. propane/propylene stocks last week by 0.1 million barrels to 101.8 million barrels as of October 2, 2020. This was 12.3 million barrels (13.8%) higher than the five-year (2015-2019) average inventory levels same time last year.
Additionally, Midwest inventories decreased by 0.8 million barrels, while, East Coast inventories rose by 0.3 million barrels. Gulf Coast and Rocky Mountain/ West Coast inventories both climbed by 0.2 million barrels.
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