For a long time most America’s can’t figure out why oil prices have been so crazy over the last several years. Gas prices over $4.00 a gallon. Diesel fuel prices over $4.00 a gallon. We are actually producing more oil in the United Stated today then we were in 2005. We are also using less, so why are we paying more?
Diesel fell for the third time in four weeks, doubling last week’s decline to a 4.2-cent drop to $4.085 a gallon. The decline — the biggest since Dec. 19 — leaves trucking’s main fuel 1.3 cents below than the same week a year ago. Its $4.148 national average price two weeks ago had been the highest since diesel was $4.208 on Aug. 18, 2008. Despite the recent declines, diesel has gained a cumulative 30.2 cents since its year-low $3.783 price on Jan. 2.
The crazy rush that everyone had just several weeks ago about $5 diesel fuel prices and $5 gas prices has seem to take a bearish turn. As we all know these things happen when buying fleet fuel, one day it looks gloomy and the next day it looks a little brighter. The director of petroleum risk management for Pilot/Flying J Travel Center says he is bearish because U.S. stocks of crude oil and refined product (diesel fuel, gas, etc) are ample and usage rates are not particularly high. With that said worries about international politics and finances are currently far more influential than supply and demand. Several of our clients at Sokolis Group have been worried about how high things might go but during a storm, it’s never really a good idea to change company philosophies.
A recent survey conducted by Today’s Fleet Leadership, surveyed over 380 fleet managers and found fuel costs were at the top of the list of concerns. Over 40% of the fleet managers rank increasing diesel fuel cost as their number one concern. Of those fleet managers, saving money on fuel consumptions through reducing usage outweighed only 8% of the fleet managers concerned by identifying and cutting emissions as their top concern.
This week the DOE reported, diesel fuel prices fell for the second time in three weeks — but just the third since early January — dropping 2.1 cents to $4.127 a gallon. Gas prices meanwhile, fell for a second straight week, dropping 1.7 cents to $3.922.
Diesel fuel prices fell for the second time in three weeks — but just the third since early January — dropping 2.1 cents to $4.127 a gallon. Gasoline, meanwhile, fell for a second straight week, dropping 1.7 cents to $3.922. Diesel is now 2.2 cents higher than the same week a year ago, while gas is 7.8 cents higher. Last week’s $4.148 diesel price was the highest since trucking’s main fuel was $4.208 on Aug. 18, 2008. Monday’s diesel decline was the biggest this year — the most since a 3.7-cent downturn on Dec. 26. Gasoline’s was the biggest since a 5.7-cent drop on Dec. 19. Diesel has gained a cumulative 34.4 cents since registering a year-low $3.783 on Jan. 2.
What is going on with diesel fuel prices? Let me try and give you my 2 cents but please don’t shoot the messenger.
Do you know what diesel fuel prices and gas prices will do? You must be a freaking genius!
Diesel fuel prices will average $4.21 a gallon this summer and $3.94 a gallon this year, while holding over $4 into 2013, the Department of Energy said Tuesday.
Diesel fuel prices resumed its upward trend following a one-week respite, gaining 0.6-cent to $4.148 a gallon, the highest price since the record-setting summer of 2008. Gasoline prices, meanwhile, fell for the first time in 11 weeks, dipping 0.2-cent to $3.939 a gallon. The increase leaves diesel 7 cents higher than the same week a year ago and gas 14.8 cents higher than last year. The diesel fuel price is the highest since trucking’s main fuel registered $4.208 on Aug. 18, 2008. Diesel had dipped half a cent last week, to $4.142 a gallon, its first decline in 10 weeks. It has risen in 12 of the past 14 weeks, gaining a cumulative 36.5 cents.