SunSirs: The Price of Local Gasoline and Diesel increased Last Week in China

Last week, the trend of domestic gasoline and diesel increased slightly in China. As of August 12, the price of domestic 92# gasoline was 8,656 RMB/ ton, up 1.18%; The price of 0# diesel in China was 7,976.6 RMB/ ton, and the price in the market rises slightly by 0.5%. On one hand, the price of crude oil rises, on the other hand, the price of gasoline and diesel in the market rises slightly.

Last week, the price trend of gasoline and diesel refined in Shandong increased slightly, and the operating rate in Shandong declined. The operating rate of domestic main refineries did not change much, and the supply declined. However, with the control of the epidemic in some areas, the demand for gasoline increased slightly, and the supply declined slightly, and the price of gasoline rose. In terms of diesel, the domestic hot and rainy weather has decreased, and the outdoor engineering infrastructure and other industries have gradually started. In addition, the fishing moratorium in coastal areas has ended, and the demand for diesel has increased. On the whole, the demand for refined oil has increased slightly, and the price in the field has increased slightly. The operating rate of local refineries and main refineries declined slightly, and the supply of resources was normal, which affected the slight rise of the market prices of gasoline and diesel in many aspects.

In terms of crude oil, the international crude oil price rose by 6.55% last week. By the end of the weekend, the settlement price of the main contract of WTI crude oil futures in the United States was US $94.34/barrel, and the settlement price of the main contract of Brent crude oil futures was US $99.60/barrel. Previous data showed that the U.S. gasoline inventory dropped significantly last week; In addition, the International Energy Agency (IEA) raised the growth forecast of oil demand this year, and the data level eased the expected pressure of demand decline caused by economic recession; Combined with the soaring price of natural gas, the demand for oil as an alternative energy has been boosted. On the other hand, gasoline stocks in the United States have dropped significantly; In addition, the CPI data of the United States in July showed that inflation was lower than expected and risk appetite improved, boosting the upward trend of oil prices. In a comprehensive view, the crude oil price trend rose sharply last week, and the domestic product oil market affected by crude oil rose.

Supply and demand of refined oil: Recently, the operating rate of Shandong refinery has declined, and the supply side has decreased, but there is still support in demand. In the short term, the local refinery units will be shut down for maintenance. The downstream demand for gasoline and diesel is acceptable, and the wholesale price of domestic refined oil will rise. Recently, the average operating load of atmospheric and vacuum distillation unit of Shandong main refinery is about 66%, the demand on the site is general, and the price on the site rises slightly.

SunSirs oil product analyst believes that the oil price environment is complicated. The International Energy Agency (IEA) has raised its oil demand growth forecast for this year. In addition, there is little change in crude oil supply, and the international oil price is still supported. Domestically, with the end of the fishing moratorium in the south, the operating rate of outdoor infrastructure, factories and mines has increased, the demand for diesel has increased, and the demand for gasoline is acceptable. Therefore, it is expected that there is still room for a small increase in China domestic gasoline and diesel in the short term.

If you have any questions, please feel free to contact SunSirs with support@sunsirs.com.