By Emmanuel T. Erediano
[email protected]
Variety News Staff
AFTER two consecutive rollbacks last month, gasoline prices went up again by 20 cents, while the diesel price soared to $9.33 a gallon from $8.63 earlier this week.
Mobil Oil Marianas raised its regular gasoline price to $6.51 a gallon from $6.31 on Tuesday last week. Its Supreme gasoline climbed to $6.96 from $6.76 a gallon. Shell Marianas followed suit.
On Tinian, Tinian Fuel Services’ regular gasoline was $8.639 a gallon, and diesel was $11.739 as of Sunday. On Rota, Calvo Enterprises’ regular gasoline and diesel prices were $7.79 and $10.02 a gallon, respectively.
The rising fuel prices prompted construction worker Rudy Francisco to stock up on groceries at his home. On Monday, he said he spent $400 at a supermarket on sacks of rice, canned goods, and other basic commodities because he expected grocery prices to rise soon as well.
“To all my friends, my advice is: ‘Stock up on food now. Make sure you have enough at home because once fuel prices go up again, it will be expensive to go to the supermarket,’” Francisco said.
“These increases in fuel prices are affecting the entire world, not just us here on the island,” he added.
Francisco has been out of work for nearly a year because his employer can no longer pay him and his co-workers. To survive, he is selling clothes and household items at Sabalu Market. Luckily, he lives nearby, so he doesn’t spend much on gasoline.
If he needs to travel to other parts of the island, like Garapan, he avoids using his car and rides the bus instead, he said.
Supply flows
According to Reuters, oil prices could spike to $120-$130 per barrel in the near term, with a risk of surging above $150 if supply flows through the Strait of Hormuz remain disrupted into mid-May, J.P. Morgan said in a note on Thursday.
“J.P. Morgan’s base-case assumption is that the disruption to the strait will ultimately be resolved through negotiations following a period of supply strain and inventory drawdowns,” Reuters reported.
“Under this scenario, oil prices are expected to remain elevated above $100 a barrel through the second quarter. Prices are then forecast to retrace in the second half of 2026, driven by a partial reopening of the strait and some normalization of oil inventories, the note added.
“J.P. Morgan warned that the size and duration of any price spike would be key in determining the severity of the broader macroeconomic shock, raising the risk of depressed demand and a potential recession if high prices persist.
“Oil prices jumped on Thursday in volatile trading, after President Donald Trump said the U.S. would continue attacks on Iran.”
Emmanuel “Arnold” Erediano has a bachelor of science degree in Journalism. He started his career as police beat reporter. Loves to cook. Eats death threats for breakfast.
