Jan 03 2008
Petrol prices surges to a record high
January, 3
Inflation has now struck the petrol sector with the prices of petrol rising to a record high after oil was hit $100 a barrel for the first time. This hike also resulted to the consumer paying more for petrol in the oil stations. It was noticed that for a litre of petrol one has to pay 103.03p while diesel was at 107.95p a litre. This sudden jump in the oil prices are said to be due to the increase in demand of oil in global market.
It is also seen that to some extent the speculators also are responsible for this sudden high in prices, as it is learnt that there is no scarcity of petrol in the UK market to overcome the demand. But the political disturbances in Pakistan and other countries have also made the situation worse. Market analyst suggests that this rise in price of oil is not predicted to drop soon, and will take time.
Meanwhile with the supermarkets remaining closed on new year festive holidays have added to the increase in demand for oil. Bruce Young, the Lothian and Borders co-ordinator of the Association of British Drivers said this hike in petrol prices by fuel companies are ripping off motorists. With this increase in the start of the year is not much happy beginning for many.
Now all eyes are set on the market, hoping for a decrease in the price of oil, to make the situation stable. But there are also chances for further upward trend of oil prices in the global market with more demand globally and other political factors pushing the prices.