SunSirs: International Crude Oil Price Plummeted, China Gasoline and Diesel Prices Went Down

The international crude oil price plummeted, the market wait-and-see sentiment was strong, the downstream transaction enthusiasm was not high, and the domestic oil product market price fell. According to the monitoring data of SunSirs, the gasoline price on October 30 was 5,160 RMB/ ton, down 1.15% from the beginning of the week; on October 30, the price of diesel oil was 4,577 RMB/ ton, up 0.07% from the beginning of the week.

On October 28, the US Energy Information Administration (EIA) routinely released US commercial crude oil inventory data on Wednesday, with crude oil inventory growth far exceeding market expectations and production growth reaching a record high. The international oil market suffered Waterloo. With the increasingly severe epidemic situation in Europe and the United States, especially in France and Germany in Europe, the government has restarted restrictive measures, forming unprecedented pressure on the expectation of future crude oil demand. Last week, international crude oil prices plummeted, WTI crude oil prices fell 9.23%, Brent crude oil prices fell 9.06%.

In terms of gasoline demand, the recent lack of positive boost in China domestic gasoline market demand, coupled with the collapse of international crude oil and the news of the decline in the guidance price of main business units for foreign production, aggravates the wait-and-see mood of the industry, and the enthusiasm of terminal procurement is not high; in terms of diesel demand, the domestic weather is getting colder, and outdoor operations such as road engineering and infrastructure construction enter the construction period, so the diesel demand is good. But the overall supply of diesel market is sufficient, coupled with the collapse of international crude oil price, the price of diesel market is weak.

Lu Xingjun, SunSirs oil product analyst said: affected by the epidemic situation, the decline in international crude oil demand is expected to increase. In the short term, international crude oil will continue to be under pressure, and domestic demand for refined oil has no good support. It is expected that China domestic oil product prices will continue to decline.

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