New round of financial torment will have to be endured by consumers this week as the price of diesel products will rise by a hefty P1.50 per liter; while gasoline prices will go up by P0.75 per liter, according to the pricing advisories of the oil companies.

For kerosene products, which is a very vital base for aviation fuel and also an essential product for households and other major industries, its price will similarly increase by P0.80 per liter this week.

As of press time, the industry players that already sent notices on their price hikes had been Shell Pilipinas Corporation, Cleanfuel, Seaoil, PetroGazz, Chevron and Jetti Petroleum effective Tuesday (February 6); while their competitor-firms are all anticipated to follow.

This is already the fifth week this year that prices have been incessantly rising; while the only episode of rollback was the first price adjustment last January 2.

The oil firms will be implementing the new batch of upward price adjustments based on the Mean of Platts Singapore (MOPS) index, but in recent months, there had been substantial market risk premium exerting pressure on weekly cost fluctuations at the pumps.

Market fundamentals have been generally mixed last week, but the commanding factor that triggered this week’s substantial increases at the pumps had been the lingering tension in the Middle East; as well as the series of refinery shutdowns, including those in the Asian region.

Industry watchers noted that there was just momentary price softening last week on news of a probable ceasefire between the Palestine and Israeli forces, but that had not been enough for the price downtrend to carry on until end-week trading.

Further, the reported plan of the United States to launch another strike against the Iran-backed militants provided a counterweight to the ‘ceasefire scenario’, hence, the slide in prices did not stay for a longer period.

Additionally, industry players have cited the determined stance of the Organization of the Petroleum Exporting Countries and ally-producers (collectively known as OPEC+) on not pursuing any changes in their production quota; as added strand why downswing in prices had not persisted.

As of Monday (February 5) trading, international benchmark Brent crude has been swinging in the range of $77 per barrel, but there are no firm indications yet that pricing will ease up in the days ahead.

In fact, the overall prognosis for oil markets would be uptick in oil prices, especially if the affected refineries won’t still be back in operations; and if the US will already set the ball rolling on its new round of assault on the Houthi rebels.