Fuel prices will fall: An analyst made a December prediction for vehicle owners (video)

Despite the ongoing problems at the EU border, the situation of gasoline and diesel prices in Ukraine is improving, as in November oil prices dropped significantly from 95 dollars per barrel to 80-82 dollars. It is noteworthy that gasoline and diesel prices are now decreasing every week. In an interview about this Focus said Sergey Kuyun, director of A-95 Consulting Group.

“Large gas station chains have already reduced gasoline and diesel prices by one hryvnia,” notes the expert. “We have a great potential for fuel prices to drop by a few more hryvnias in December.”

However, according to him, liquefied gas may have the greatest potential for cost reduction in December. Last month, its price increased by 30 percent due to the blockade at the borders, but the market has already found ways to overcome this problem thanks to other logistics routes, so the price of gas will decrease even if the blockade continues, points out Sergei Kuyun.

According to him, the gas price is expected to soon fall below 30 UAH per liter, which is what should have happened if there was no blockade. The expert states that even if the limits are removed quickly, this will not lead to a significant decrease in costs, and the decrease will occur faster.

As for long-term predictions for 2024, Sergey Kuyun, like other fuel market analysts, cannot make them that far in advance. Experts note that what stands out in this year’s example is the price per barrel of $60, which then rises to $80, or even $95, and then returns to $80 per barrel. Although some predict further increases in the cost of oil.

Sergey Kuyun emphasizes that it is difficult to say what the situation will be next year, as everything can change at any time in the market due to numerous subjective factors, for example, unexpected decisions of OPEC countries. Therefore, we can only talk about short-term forecasts such as December, but although the participating countries agreed once again at the last OPEC meeting to reduce oil production, the market has not yet reacted to this.

According to the expert on the dependence of EU countries on Russian oil, the embargo on such resources has been in force for a year and nothing bad has happened to Europe. Large quantities of Russian oil were replaced by other sources of supply, and there were no shortages or significant price increases.

“Despite the EU’s success in rejecting oil from the Russian Federation, the aggressor still has many open doors through which this oil can leak into Europe,” says Sergei Kuyun. “Therefore, it is now beneficial for the invader to focus on closing these gaps .”

Previously Focus He reported that Russia continues to make money from oil and gas trade. European sanctions are not helping to weaken Putin’s army.