VThis is news that should reassure neither motorists nor the government. While the context has already been on the rise for several months, prices at the pump have once again increased to reach new historic highs. Thus, according to surveys carried out by the Ministry of Ecological Transition and relayed by BFMTV, Monday January 17, the average price of diesel has soared by 3.3 cents, in one week, to reach 1.6214 euros, while SP95-E10 prices increased by 2.3 euro cents, to show an average pump price of 1.6821 euro.
New unpublished figures therefore, while the more general soaring of energy prices, including gas and electricity, already weighs heavily on the bill of the French. And this, despite the aid mechanisms, such as inflation compensation, put in place by the State to limit damage. And the increase observed by the executive services is not a frank surprise: it follows that observed by oil. Monday, January 17, a barrel of Brent posted a price of 86.43 dollars around 6 p.m. French time, while a barrel of West Texas Intermediate (WTI) climbed to 84.20 dollars. Earlier in the session, Brent rose to $86.71 a barrel, the highest since October 2018 and just cents off a level not seen since 2014.
A barrel over $100?
Several factors contributed to this rebound, including production interruptions “in Libya, Nigeria, Angola, Ecuador and, more recently, in Canada due to extreme cold”, explains Hussein Sayed, analyst at Exinity, quoted by the ‘France Media Agency. “Markets remain focused on the delicate balance between supply and demand, which seems to have a rather large impact on price fluctuations throughout the post-pandemic economic recovery,” notes Walid Koudmani, analyst at XTB.
READ ALSOHow much does soaring energy prices cost the French
And prices at the pump could still reach new records, in France as elsewhere. Many analysts now expect crude oil prices to rise above $90 a barrel, or even the $100 mark. According to Hussein Sayed, “what seemed impossible a few months ago now has a good chance of happening”.