Diesel prices are back over the $4 per gallon mark, says EIA

When the price per gallon of diesel spiked a full ten cents last week, it still remained below $4 per gallon. But with this week’s 2.3 cent gain to $4.01 per gallon, it is back in territory it has not been in since mid-May, when it hit $4.061 on May 16, according to data from the Department of Energy’s Energy Information Administration (EIA).

By ·

When the price per gallon of diesel spiked a full ten cents last week, it still remained below $4 per gallon. But with this week’s 2.3 cent gain to $4.01 per gallon, it is back in territory it has not been in since mid-May, when it hit $4.061 on May 16, according to data from the Department of Energy’s Energy Information Administration (EIA).

In April and May there were multiple weeks in which the price per gallon of diesel were north of $4, before settling into the $3.70 to $3.90 range for most of the subsequent weeks. While diesel is above the $4 mark, it is 11.4 cents the 2011 high of $4.124 per gallon from the week of May 2, which is also highest level for diesel prices since August 2008, when prices were approaching $5 per gallon. Last week’s ten cent gain was the single largest weekly gain since the week of April 11, when the price per gallon increased 10.2 cents to $4.105.

On an annual basis, the price per gallon is up 83.9 cents and is slightly down from declines in the mid-80s and higher for most of 2011 prior to recent weeks.

Oil barrel prices on the New York Mercantile Exchange hit $102.59 late last week, which marked the first time it eclipsed $100 since June. As of this morning, oil was trading at $98.47 per barrel.

And at last week’s TransComp exhibition in Atlanta, many shippers told LM they are forecasting for steady fuel increases in their supply chain and transportation budgets should prices continue to rise at a steady rate.

“Shippers will have to pay to get their goods to market even as the price of fuel increases,” a shipper told LM. “The fuel surcharge (FSC) is not necessarily an evil thing.”


About the Author

Jeff Berman, Group News Editor
Jeff Berman is Group News Editor for Logistics Management, Modern Materials Handling, and Supply Chain Management Review. Jeff works and lives in Cape Elizabeth, Maine, where he covers all aspects of the supply chain, logistics, freight transportation, and materials handling sectors on a daily basis. Contact Jeff Berman

Subscribe to Logistics Management Magazine!

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your entire logistics operation.
Start your FREE subscription today!

Article Topics

Diesel · Diesel Prices · EIA · All Topics
Latest Whitepaper
SaaS Supply Chain Management Systems
A guide to better understanding the market, the software and the benefits
Download Today!
From the November 2016 Issue
The third time is the charm for this U.S. manufacturer on the hunt for a third-party logistics (3PL) provider that could successfully combine transportation services and technology capabilities under one roof.
Warehouse & DC Operations Survey: Ready to confront complexity
2016 Quest for Quality Awards Dinner
View More From this Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly email newsletter!
Latest Webcast
Digital Evolution: Streamlining Logistics and Supply Chain Operations
In this FREE virtual conference we'll define the challenges facing operations and offer solutions designed to create dynamic, automated networks that offer seamless communication, improved collaborative third-party relationships, and the ability to respond to changes at a moment's notice.
Register Today!
EDITORS' PICKS
Logistics Management’s Top Logistics News Stories 2016
From mergers and acquisitions to regulation changes, Logistics Management has compiled the most...
Making the TMS Decision: Ariens Finds Just the Right Fit
The third time is the charm for this U.S. manufacturer on the hunt for a third-party logistics (3PL)...

Motor Carrier Regulations Update: Caught in a Trap
The fed is hitting truckers with a barrage of costly regulations in an era of scant profits....
25th Annual Masters of Logistics
Indecision revolving around three complex supply chain elements—transportation, technology and...