MANILA — Petroleum industry sources, citing updated market reports on Monday said that fuel price may rise higher than the initial forecast.
As of this weekend, the estimated increase ranges from 1 to 2. However according to sources, the first major increase for the year could be around P2 for gasoline.
Meanwhile, diesel prices are seen to increase by P1 to P1.50 per liter. The increase is despite the recent net decrease in the fuel prices.
A decrease of P3.60 per liter for gasoline and P4.16 per liter for diesel has been recorded since the beginning of this year.
Sources attributed the sudden price increase to speculative trading because of the weak US economic data and concerns about curtailing oil drilling activities.
Recent reports indicated that major oil companies are cutting capital expenditures for this year due to oil output concerns.