Oil oversupply means lower petrol prices

Oil oversupply means lower petrol prices

Oil price is influenced by the demand and supply and also the inventories

If there are signs of higher demand and supply being the same or maybe reduced due to some unforeseen circumstances like war, logistics etc, then oil prices will go up. This will then cause the petrol price at the pumps increase too. For Malaysia, we are lucky because the subsidy given to Malaysians meant that no matter how the oil price moves, the petrol price will remain the same; WAY LOWER than all the countries with borders with us. This is why I really think we need to keep making sure the subsidies benefit just Malaysians. Following is the latest news:

Article in nst.com.my “Oil prices fell on Wednesday as an industry report showing crude and fuel inventories rose last week in the US, the world’s biggest crude consumer, reinforced mounting concerns that supply is exceeding demand in the market.

Brent crude futures dropped 28 cents, or 0.43 per cent, at US$64.61 a barrel as of 0200 GMT, after gaining 1.1 per cent in the previous session. US West Texas Intermediate crude futures were down 24 cents, or 0.4 per cent, at US$60.5 a barrel, after rising 1.4 per cent on Tuesday.

US crude and fuel stocks rose last week, market sources said late on Tuesday, citing American Petroleum Institute figures.

Crude stocks rose by 4.45 million barrels in the week ended November 14, while gasoline inventories climbed by 1.55 million barrels and distillate inventories increased by 577,000 barrels, the API reported, according to the sources. Article in nst.com.my

Be serious with people who ‘betray’ the nation by letting foreigners pump our subsidized petrol

Frankly, by looking at the data, we can already guess who is NOT using the petrol but more like selling them. 300 litres, all finish in one week. Check them out lah. If they really can drive and finish the 300 litres in one week, then we can move on to the next and can skip this person already. Keep checking and moving until we identify all the ones who are actually not using but instead could be selling petrol to foreigners who are willing to pay extra to us because their petrol prices are twice or more versus us.

Be serious with the petrol stations. Any station which does NOT stop foreigners from pumping should be taken to court or maybe suspended. A few suspensions and every petrol station would then be very responsible because they want to earn profits does not mean they abuse the subsidies. The rakyat are the ones who are paying for these subsidies. I prefer to subsidize Malaysians and NOT foreigners yeah.

All the best.

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