Subscribe to our free, weekly email newsletter!


Diesel prices are down 3.8 cents, says Energy Information Administration


July 06, 2011

It appears that diesel prices are back on a steady downward pattern, according to data released by the Department of Energy’s Energy Information Administration (EIA).

Prices dipped 3.8 cents to $3.85 per gallon, following a 6.2 cent decline last week, which represented the steepest weekly decline since falling 6.4 cents the week of May 23. Diesel prices have gone down a cumulative 27.4 cents since hitting a 2011 high of $4.124 per gallon the week of May 2.

On a year-over-year basis, prices are up 96.2 cents.

Oil prices are also down, with the current price per barrel trading at $96.09 on the New York Mercantile Exchange, according to media reports. A Boston Globe article stated that Goldman Sachs said that the International Energy Agency’s recent decision to release 60 million barrels of oil from its reserves won’t cool off prices as much as originally thought.

The article added that independent oil analysts say prices still could head lower this year, but some think IEA’s announcement speaks volumes about its expectations for world oil supplies.

As LM has reported, even with the recent decline of diesel prices, shippers and carriers remain concerned about the price of diesel and oil. While many have indicated that prices at current levels are still digestible, they cautioned that could quickly change depending on how quickly prices rise with summer driving season officially here.

And even with declines in prices in recent weeks, the focus from a supply chain perspective for managing fuel price ebbs and flows—for shippers—is more on utilization and efficiency by doing things like driving empty miles out of transportation networks.

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!

Recent Entries

The Department of Transportation’s Bureau of Transportation Statistics (BTS) reported this week that U.S. trade with its North America Free Trade Agreement partners Canada and Mexico in June dropped 3.8 percent annually to $99.0 billion. This followed a 10.8 percent decline in May to $92.7 billion.

As the calendar turns to September and we approach 2015’s final third, there are, as usual, many things that require our attention from a freight transportation, logistics, and supply chain perspective.

According to Panjiva data, July shipments-at 952,126-were up 1 percent over June, following sequential gains of 7 percent for May over April and 1 percent for June over May.

While the previous edition of the Shippers Conditions Index (SCI) from freight transportation consultancy FTR showed some encouraging signs for shippers in terms of a mild uptick in overall market conditions.

Supply Chain Expert John Caltagirone is working with an increasing number of large companies that need help addressing key issues that “keep them up at night.” Here’s what Caltagirone recommends supply chain managers do right now to prepare for the future.

Article Topics

News · Trucking · Transportation · EIA · Diesel Prices · Oil Prices · Oil · All topics

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2015 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA