\n<\/p>\n
SINGAPORE: When the <\/span>Middle East conflict <\/span>erupted, oil markets reacted almost instantly \u2013 and Singapore motorists felt it within days.<\/span><\/p>\n Petrol prices have surged by as much as S$0.40 (US$0.30) a litre in under a week, with some grades now crossing S$4 a litre for the first time in years.<\/span><\/p>\n Global oil prices have swung violently in both directions. Brent crude, the international benchmark, climbed above US$119 on Monday (Mar 9) before tumbling below US$90 after <\/span>US President Donald Trump said the war could end “very soon”.<\/span><\/p>\n For drivers already feeling the pinch, it comes down to this: why did prices spike so fast, will they come back down, and how quickly? CNA breaks it down.<\/span><\/p>\n A week ago, most Singapore drivers were paying S$2.88 per litre for 95-octane fuel.\u00a0<\/span><\/p>\n As of Tuesday, the price per litre has sailed past S$3 \u2013 Caltex is charging S$<\/span>3.35, Shell and Esso S$3.31 and SPC S$3.14. For premium fuel, Shell is charging S$4.05 a litre.<\/span><\/p>\n Filling up a Toyota Noah Hybrid \u2013 a popular seven-seater family car \u2013 now costs about S$155, up from S$140 just weeks ago, said Mr Kenneth Lee, treasurer of the Vehicle Rental Association.<\/span><\/p>\n For private-hire drivers, the pain is real. \u201cPaying an extra S$15 every time the driver refuels might not sound like a big deal for day-to-day drivers, but if you are on the road every day, the extra cost piles up very quickly by the end of the month,\u201d Mr Lee said.<\/span><\/p>\n The spike is not about oil running out. The problem is getting it out of the region, an analyst said.<\/span><\/p>\n \u201cKuwait has oil, Saudi has oil. But they can’t get their oil out of the region because tankers are not willing to transport the oil for them at this point in time, because of the dangers in the Strait of Hormuz,\u201d said Mr Sim Moh Siong, a commodity strategist at OCBC.<\/span><\/p>\n With concerns about shipping risks, insurance premiums have gone up. Financial markets have also priced in further risk before any actual shortage has materialised.<\/span><\/p>\nHow much have pump prices risen?<\/h2>\n
What’s actually driving prices up?<\/h2>\n