Petrol Prices Elevated But Ease In Latest Week

The Australian Institute of Petroleum reported that petrol prices eased to their lowest level since mid-September in the first week of October but it was the eighth straight week above $2/L. They fell 1.3% on the week to 208.5c/L from 211.2c/L the previous week, which was the highest since July last year, but were still almost 20% higher than the July trough. Fuel prices were noted to have “risen noticeably” in this month’s RBA statement but it seems in wait-and-see mode as it is unclear if demand is strong enough to pass on higher costs to customers. The latest Judo Bank PMI survey suggested that rising costs were only being passed on in part due to the uncertain economic outlook. Today’s NAB business survey should contain some information on pricing power and Westpac consumer confidence may be impacted by petrol prices above $2/L given cost of living is the main concern of households.

Australia petrol prices vs Brent crude $