WEB DESK: Sindh Assembly passed a resolution to bring down petrol prices to Rs 40 per liter on Monday, Aaj News reported.
Sindh Senior Minister Nisar Khuhro presented the resolution in the assembly. All parties agreed that the fall in oil prices world wide should benefit the consumer.
Even though oil prices fell by Rs 37 per liter in the international market, consumers in Pakistan are being sold petrol at Rs 71 only a Rs 5 decrease.
Breaking Date: 01-02-2016Breaking Is :: Sindh Assembly Petorl Ki Qeemat 40 Rupay Muqarrir Karnay Ki Qarardad Manzoor (Reported By Amin Shah )
Posted by AAJ Breaking News on Monday, 1 February 2016
Oil fell by two percent on Monday as weak economic data from China, the world’s largest energy consumer, weighed on prices and an OPEC source played down talk of an emergency meeting to stem the decline.
China’s manufacturing sector contracted at the fastest pace since 2012 in January, adding to worries about demand from the world’s second-biggest economy at a time when the market is already weighed down by a large supply overhang.
“The weak China PMI (purchasing managers’ index) is driving down prices because China weighs on the entire commodities sector from the demand side of the equation,” said Carsten Fritsch, senior oil analyst at Commerzbank in Frankfurt.
Brent April crude futures LCOc1 were down 1.8 percent, or 64 cents, at $35.35 a barrel at 0905 GMT. The March Brent contract, which expired on Friday, settled at $34.74 a barrel.
U.S. West Texas Intermediate (WTI) CLc1 was down 2 percent, or 68 cents, at $32.94 a barrel.
A senior OPEC source told a Saudi Arabian newspaper it was too early to talk about an emergency meeting of the Organization of the Petroleum Exporting Countries.
Oil prices jumped last week after Russian energy officials said they had received proposals from OPEC lynchpin Saudi Arabia on managing output and were ready to talk.
“We do not expect such a cut will occur unless global growth weakens sharply from current levels, which is not our economists’ forecast,” investment bank Goldman Sachs said in a report.
OPEC member Iran, which last month was allowed to return fully to markets after years of sanctions, is so far unwilling to participate in cuts.
Partly because of Iran’s return, OPEC production has jumped to 32.60 million barrels per day (bpd), its highest in years, adding to a global glut of over 1 million bpd in excess of demand, which has pulled down oil prices 70 percent since mid-2014.
BMI Research has cut its oil price outlook for Brent to a 2016 average of $40 per barrel from $42.5 previously, and said WTI would average $39.50.
“Counteracting oil’s upside momentum in 2016 will be the weakness of the Chinese yuan, lingering concerns over global economic growth and the well-stocked inventories of crude and fuels,” BMI said, adding that a gradual price rise was expected in the second half of the year.