Diesel Settles Down
by Phillip M. Perry
A look at the ups and downs of diesel fuel prices and how it might affect our industry.
For diesel buyers, price relief can’t come soon enough. Essential to truck fleet operations and a costly drain on business profitability, the distillate fuel oil was selling for a historic high of $5.75 a gallon this past summer, more than double the $2.40 level of two years earlier
Prices have since moderated, declining to $5.21 by late 2022. And more relief is on the way. The U.S. Energy Information Administration projects a price dip to $4.41 by the Fall of 2023.
One reason for the price moderation is a decline in the panic-buying that occurred in the initial months of the Russia-Ukraine war. Another is a move by refineries to retool their operations for greater diesel capacity. A third is a general deceleration in the global economy which results in declining demand.
Read the full article for more about:
- THE COSTS OF WAR
- UPWARD PRESSURES
- LOW INVENTORIES
- GROWING CAPACITY
- SLOWING ECONOMIES
The article is available online in the Current Issue for a limited period of time.
