The oil market remains calm amid tensions. How will prices change in Latvia? 0 8

The oil and petroleum products exchange market reacted relatively calmly to this news. How the physical market will respond will become clear much later, believes fuel market expert Alexey Shvedov.

At the moment, no new significant damage to oil production and processing infrastructure has been recorded that could affect further recovery.

The calmness of the oil exchange market is explained by the fact that, firstly, a significant portion of the negative supply factors has already been factored into futures prices, and secondly, there remains a serious risk of recession for the economies of developed countries from the demand side.

Physical market quotes (Platts) for gasoline and diesel fuel have risen by more than $200 per ton from the April minimum by the end of the month, which is more than 20 cents per liter.

So far, this global price increase has not yet fully reflected on fuel prices at gas stations in Latvia — inertia and long weekends are hindering this. Therefore, in the coming days, a moderate price increase is likely to be expected in the local market — about up to 10 cents per liter, unless unexpected shocks occur in the global commodity and financial markets.