FED: Petrol price still rising
23 Feb 2009 3:13 PM
Subject: FED: Petrol price still rising FED: Petrol price still rising
CANBERRA, Feb 23 AAP - The price of petrol is still rising, six weeks after bottoming out near $1 a litre.
Fresh data from the Australian Institute of Petroleum shows the national average price for unleaded fuel rose 1.2 cents to just over $1.22 in the past week.
Despite the immediate bad news, CommSec economist Savanth Sebastian pointed to a coming price drop.
"The good news is that the Singapore unleaded price has fallen by more than 15 per cent in the last week, reflecting the weaker prices noted in the US and European region," Mr Sebastian wrote in a market update.
"CommSec expects petrol prices to fall by around 5 to 8 cents a litre in two weeks' time."
He warned the one possible blockage to a drop was the struggling Aussie dollar.
If it drops again the price of petrol will rise because oil is purchased in US dollars.
Also on the horizon is the March meeting of the oil cartel, the Organisation of Petroleum Exporting Countries (OPEC).
It is possible OPEC will cut supply further in a bid to prop up the faltering oil price, which fell below $US38 ($A59.13) in Friday trade.
AAP pv/rl/tnf =0A
FED: Petrol price still rising