Gasoline and diesel hit the biggest decline in the year. What is the reason for this downward adjustment of oil prices?

Affected by the sharp drop in international oil prices, domestic retail prices of gasoline and diesel have been lowered.

The downward adjustment of gasoline and diesel prices is the fifth adjustment of refined oil prices during the year, and it has created the biggest decline during the year. However, the price monitoring center of the National Development and Reform Commission predicts that oil prices may fluctuate further in the short term.

1, the impact of falling international crude oil prices

Because COVID-19 mutant virus is highly contagious in South Africa, the United States, Britain and other countries have issued travel bans to many countries in southern Africa. In addition, the epidemic in Europe has intensified recently, and many countries have implemented restrictive policies. Many countries not only have economic exchanges with the outside world, but also the development of industry and tourism has been affected to some extent. The demand for oil is not great, and the futures market has sold off, so the oil price has fallen sharply, and the decline in international crude oil prices has led to the downward adjustment of domestic gasoline and diesel prices.

2. Supply and demand affect prices.

As I said before, the international crude oil price has fallen because the market demand for all crude oil has not increased greatly in a short period of time, while the supply of oil is increasing every day. The market has formed a scene of oversupply, and the relationship between supply and demand is no longer so tense, and prices will naturally fall further. Value determines the price, and supply and demand affect the price. In China, due to the influence of international crude oil prices, the prices of gasoline and diesel oil are also falling.

3. My opinion on the downward adjustment of oil price.

The range of oil price reduction is still very large. According to the estimation of the capacity of the fuel tank of a general family car of 50 liters, it will cost at least less 17 yuan to fill a tank of No.92 gasoline. Although we can't see any big change in the proportion of decline per liter, we can see that we have saved a lot of money by filling a whole box of gasoline. Of course, for individuals, I still hope that the lower the price of gasoline, the better. After all, it can save a lot of money