After an incredible 'eye opening' trip to Myanmar last week, I found myself Back in Kuala Lumpur and Singapore this week with oil pricing and deregulation on the agenda of many meetings.
I have to admit international oil pricing is not my area of expertise. So meeting companies and executives that make a living from this is an education and how it affects the fuel supply chain to the end user. At one stage last week, I was shown around the operating office of a commodities trading house and was struck by the quietness and focus of the people working there. Seeing the noise and bustle of the financial markets on Bloomberg Channel had obviously 'coloured' my perception!
I also met up with one of our forthcoming Fuel Retail Conference speakers, Vandana Hari. Let me quote her views on this week weeks 'oil markets'.
“A real risk in trying to read the oil markets, especially in an age of disruption such as the one we are in, is not delineating short-term swings from long-term trends. The consequences are apparent in current efforts to project the trajectory of US gasoline consumption as the country heads into its peak summer driving demand season: a lot of mixed signals, confusion, and diametrically opposite views on the direction.” Vanda’s perspective and insight on this weeks oil markets was (i) to distinguish the short term trends from the long term ones; (ii) oil markets bias for counting crude barrels and (iii) OPEC/non-OPEC extending cuts.
Moving on from international oil price in Singapore to oil price deregulation in SE Asia. In Kuala Lumpur (KL), the new weekly oil price change was creating havoc in fuel distribution and I found myself talking on this subject at many of my meetings in Malaysia. My agenda in the last week was very much centered on our forthcoming PW Asia Fuel Retail & Distribution Conference in KL. It occurred to me that not alone was the timing of our event very good, but that the two areas of oil price and deregulation (in Asia) were going to come together at next month’s event.
Finally I can inform you that the update on speakers, delegates and supporting expo will all be published in our Event Newsletter towards the end of this coming week.
Note: I took the photo at Raffles Place this week where much of the oil industry Asia HQ are.