If you’re the type to queue up for petrol before prices are hiked, make a note to fill up this Saturday:
Since hitting bottom in the second week of January, Brent crude oil has rebounded to around the USD60-USD55 per barrel range (about 20% higher), compared to the USD47.80 average for January.
While Malaysia’s APM pricing is based on MOPS, not Brent, there’s an obvious correlation involved (MOPS includes refinery costs). February’s average Brent prices are pretty close to December’s (the difference is just USD1-USD2 per barrel), so we’re likely to see petrol and diesel prices close to those prevailing in January – RM1.91 for RON95 and RM1.93 for Diesel.
I’m expecting CPI inflation to now hit 0.3% in February, before rising to 1.1%-1.2% in March.