Fuel price

- A + A KUALA LUMPUR (June 25): The Federation of Malaysian Manufacturers (FMM) has hailed the government’s decision not to pass through a higher surcharge rate to consumers despite the recent sharp increase in fuel and other electricity generation costs. “The FMM is pleased that the government had positively considered its call for assistance to help curb one of the industries’ major operational input costs, i.e. energy cost,” said FMM president Tan Sri Soh Thian Lai on Saturday (June 25). On Friday, Prime Minister Datuk Seri Ismail Sabri Yaakob said Putrajaya had decided to maintain the electricity and water tariffs in Peninsular Malaysia in efforts to fight the rising cost of living. In a statement, Soh said: “The government’s decision to absorb the cost of the fuel price which amounts to RM5.8 billion and hence maintain the Imbalance Cost Pass-Through (ICPT) surcharge at the current rate as well as to maintain the current water tariffs would ease the cost … [Read more...] about FMM hails govt’s decision to absorb fuel price increase

Maruti Suzuki recorded a 20 percent growth in unit sales in May against the same period in pre-Covid 2019, with India's biggest car maker showing no signs of slowing down despite the current inflationary environment. "On the ground, demand looks strong," said Shashank Srivastava, senior executive director (ED), Marketing & Sales, Maruti Suzuki, told CNBC-TV 18 on June 22. Srivastava , however, flagged rising interest rates that have made loans expensive, soaring fuel prices, inflation and high commodity prices, which have now begun to cool, as obstacles to growth. Citing the 13.5 percent industry growth rate in the passenger vehicle segment in FY 22, Srivastava said absolute volume sales remain comparable to FY 17, reflecting pent-up demand. "The industry is expecting a double-digit growth with targeted sales of 34 to 35 lakh units," he said. Close On the semiconductor shortage that has hit production, Srivastava said the company was producing at 95 … [Read more...] about Demand strong but inflation, commodity prices could impact growth, says Shashank Srivastava

Brent crude futures slipped 3 cents to $113.09 a barrel by 0515 GMT, after rising as much as 1 percent earlier. Front-month prices tumbled 7.3 percent last week, their first weekly fall in five (Representative image) After shooting to near $123 per barrel last week amid various global factors, crude oil prices slid by as much as 6 percent or $11 to $112 per barrel on June 17. This was a sudden reversal from the steep climb in the wake of Russia’s invasion of Ukraine, global travel opening up, and services reviving. Speaking to CNBC-TV18 on June 20, Vandana Hari, founder and CEO of Vanda Insights, said the correction was mainly due to two factors — Libya’s oil production being confirmed at 700,000 barrels per day (bpd) instead of the earlier expected 100,000 bpd; and tumble in United States markets due to sell-off in broader risk assets. “What happened on Friday (June 17) was quite late in the US session and quite a surprise,” Hari said. Follow our Market LIVE blog … [Read more...] about Crude oil sell-off a bit overdone as prices could be ticking back up soon, says Vandana Hari of Vanda Insights

- A + A KUALA LUMPUR (June 24): Kenanga Research expects crude palm oil (CPO) prices to stay firm, averaging at RM4,500 per tonne in 2022 and RM4,000 per tonne in 2023. In a note on Friday (June 24), the research house said the outlook is mainly based on supply needs, resilient demand for the golden commodity and supportive biofuel demand. “Current global edible oil tightness began when production dipped and failed to meet demand in 2020. Inventory slipped and continued doing so in 2021. “If the pending second-half season goes well, 2022's inventory should edge up year-on-year but unlikely to exceed 2019 levels,” it said. It also said that a favourable 2023 scenario is possible given that prices are still good but helpful weather is also needed, and Malaysia’s labour shortage does not curtail palm oil output substantially. Meanwhile, the research house said that demand for CPO continues to be resilient, underpinned by rising populations and affluence where … [Read more...] about Kenanga Research expects CPO prices to stay firm in 2022 and 2023

Share to Twitter Share to Linkedin Topline With oil prices down this month, billionaire investor Warren Buffett is once again buying the dip by adding to one of his favorite energy stocks, as his investing conglomerate Berkshire Hathaway purchased roughly $500 million worth of Occidental Petroleum shares this week. Key Facts Buffett’s Berkshire Hathaway purchased roughly 9.5 million shares of Occidental over the past week at a cost of nearly $530 million, according to a new regulatory filing late on Wednesday. After a buying spree that started in late February, Buffett’s investing conglomerate now owns roughly 152 million shares of Occidental—a 16.3% stake worth nearly $8.5 billion that makes Berkshire by far and away the largest shareholder in the energy giant. Shares of Occidental Petroleum failed to rally on the news Thursday, but it remains one of the best-performing stocks this year, rising over 90% thanks to the massive spike in oil … [Read more...] about Warren Buffett Adds To Massive Stake In Occidental Petroleum, Buying The Dip After Oil Prices Drop

Copper or Doctor Copper as market analysts refer to it due to its reputation of having a “Ph.D. in economics” because of its ability to predict the direction of global economy, has tumbled significantly in the recent past and is currently trading at its 15-month low on the London Metals Exchange (LME). The past trends of copper prices and global economic growth have signified that both the copper prices and global economy move in tandem and one can predict the turning points in global economy based on the direction of global copper prices. Experts are of the opinion that the correlation between copper prices and global economic health does largely hold good, though, at times there might be some brief aberrations. “Aberrations may occur due to governments’ interventions in the form of fiscal stimulus, or the major central bankers’ trying to respond to the changing macro-economic conditions by the way of change in their monetary policies”, said Praveen Singh, AVP, Fundamental … [Read more...] about Dr Copper’s falling prices indicate more ailments on the cards for global economy

Oil pumping jacks, also known as "nodding donkeys", in an oilfield near Neftekamsk, in the Republic of Bashkortostan, Russia, Nov. 19, 2020. Photographer: Andrey Rudakov/Bloomberg Oil prices skidded in early trade on Wednesday amid a push by U.S. President Joe Biden to bring down soaring fuel costs, including pressure on major U.S. firms to help ease the pain for drivers during the country's peak summer demand. U.S. West Texas Intermediate (WTI) crude futures fell $1.34, or 1,2%, to $108.18 a barrel at 0031 GMT, while Brent crude futures dropped $1.33, or 1.2%, to $113.32 a barrel. As the United States struggles to tackle soaring gasoline prices and inflation, U.S. President Joe Biden is expected on Wednesday to call for temporarily suspending the 18.4-cents a gallon federal tax on gasoline, a source briefed on the plan told Reuters. Biden had disclosed on Monday he was considering whether to call for a pause in the tax. "Even oil traders acknowledged that higher oil … [Read more...] about Oil prices slide as Joe Biden pushes for US fuel cost cuts

Share to Twitter Share to Linkedin The coronavirus pandemic, war in Ukraine, runaway inflation and climate change are fueling a global food security crisis. The numbers tell an alarming story. The Food and Agriculture Organization of the United Nations and World Food Programme estimate that 49 million people are facing starvation. The Consumer Price Index is recording the greatest increase in U.S. food prices since 1979; the cost of sunflower and palm oil has doubled ; and wheat and maize cost twice as much as they did a few months ago. Against this backdrop, the World Bank projects that global supplies of wheat will decline in 2022-23, and in the United States, winter wheat production is down by 8 percent . And to top it off, over 20 million tons of grain are trapped in Ukraine’s silos. “If you think we’ve got hell on earth now, you just get ready,” the executive director of the World Food Programme David Beasley warned recently. … [Read more...] about Covid, Conflict And Climate Are Fueling A Global Food Crisis – Leaders Must Act Fast

- A + A WASHINGTON (June 22): US President Joe Biden on Wednesday called on Congress to pass a three-month suspension of the federal gasoline tax to help combat record pump prices and provide temporary relief for American families this summer. "We can bring down the price of gas and give families just a little bit of relief," Biden said in a White House address. The president also urged States to temporarily suspend State fuel taxes, which are often higher than federal rates, the official said, and will challenge major oil companies to bring ideas on how to bring back idled refining capacity when they meet with his energy secretary on Thursday. Biden and his advisers have been discussing the issue for months amid increasing pressure to act as record-high gas prices weigh down the president's poll ratings and cast a dark cloud over Democrats' chances of retaining congressional power in November's elections. A suspension of the 18.4 cents per gallon federal … [Read more...] about Biden asks Congress to pause gas tax to help lower record pump prices

The average price for a gallon of gas went down by five cents from last week to Tuesday, according to AAA, but only due to decreasing demand because Americans can’t afford to fill up their tanks. “You have to have some demand destruction to give supply a chance to catch up,” an energy analyst told the Wall Street Journal . (RELATED: ‘Tough Summer’: Energy Sec. Makes Bleak Forecast, Signals Concern About Gas) A 10% rise in gasoline prices results in a 2% or 3% decrease in demand, according to an economist at the University of California , Berkeley. Consumers are responding by cutting back on how often, and by how much, they fill up their tanks. Many Americans are now putting in a few gallons at a time rather than filling their entire tank all at once, analysts told the WSJ. Some are carpooling or cutting back on driving their cars in the first place. In all, Americans are using a lot less gas than they used to in response to record high prices , the Wall Street Journal … [Read more...] about Gas Prices Down Slightly? That’s Because Americans Can’t Afford It