The AA is currently predicting a small decrease for petrol as we head into June, which is based on the Central Energy Fund, unaudited mid-month fuel price data.
However, this decrease is small as a litre of petrol will cost 1 cent less. Diesel and paraffin, on the other hand, is set to rise with increases of 20 cents per litre for diesel and 25 cents per litre for paraffin.
International oil prices are on the rise again after a few weeks of stability. There is still a re-balancing of global demand and supply within the oil market, but as it stands the variations are starting to resemble those before Covid-19. Normal market forces could be gaining the upper hand from the disruptive year that led to the sub-zero process for West Texas Intermediate oil according to the AA.
However, prices can quickly change and nothing should be taken for granted.
The Rand exchange rate is also helping with the average rate gaining of about 20 cents against the US dollar since the start of May, which is a nett gain of 11 cents against the dollar.
The mid-month picture is showing movement, but these will probably change before the official adjusted price for June.
Throughout the rest of May, the oil and rand see-saw will continue and by the end of the month, we may have a different picture altogether from what is currently being seen.