Subscribe to our free, weekly email newsletter!


Diesel prices are down for second straight week

By Staff
January 22, 2014

Diesel prices dropped for the second straight week, according to the Department of Energy’s Energy Information Administration (EIA).

The average price per gallon of diesel fell 1.3 cents to $3.873 per gallon, following last week’s 2.4 cent decline, which was preceded by three weeks of gains for a cumulative 3.9 cents.  These gains were preceded by two weeks of declines for a cumulative 1.2 cent drop during the weeks of December 9 and December 17, and prior to that saw a two-week stretch in which prices headed up a cumulative 6.1 cents.  On an annual basis, the average price per diesel is down 2.9 cents.

Prior to that two-week run of increases, prices were down for 11 weeks, which was comprised of nine weeks of declines and two weeks in which prices were flat.

During this 11-week period, diesel prices dropped a cumulative 15.9 cents, according to EIA data.

In its recent update of the short-term energy outlook, the EIA expects the average price of diesel for 2013 to be $3.92 per gallon, below 2012’s $3.97. For 2014, it expects the average price to be 3.77 per gallon.

Oil barrel prices headed up to $95.50 on the New York Mercantile Exchange, according to an Associated Press report. The report said the gain was due to expectations for solid demand and weaker supply, particularly in Asia and Europe.

And the International Energy Agency recently stated in a report that the U.S. will pass Russia and Saudi Arabia as the world’s top oil producer by 2015, coupled with being close to energy self-sufficient in the next two decades, as well as gains from shale formation output, too, according to a Bloomberg report.

The report added that crude prices will head up to $128 per barrel by 2035.

Logistics Management oil and gas columnist Derik Andreoli recently observed that on the diesel side, oil production in the U.S. and Iraq continues to grow rapidly while emerging market demand will continue its lackluster performance.

Regardless of the fluctuation in diesel prices, shippers are cognizant of the impact diesel prices can have on their bottom line—for better or worse.

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

While shippers ready themselves for the long Labor Day weekend, we’d like to remind them that new security and compliance regulations are - as always – looming ahead.

United States Class I carloads were down 56,104 carloads–or 4.6 percent annually–at 1,115,957 in August, and intermodal containers and trailers were up 3.6 percent--or 38,617 units- at 1,114,370.

A new report from Chicago-based freight transportation and logistics consultancy CarrierDirect released this week examines current freight market conditions and what logistics and supply chain stakeholders need to do and know in order to stay one step ahead of the competition.

You’ve heard the old saying, it was the best of times, it was the worst of times. Rob Handfield sees this as the best of times for procurement professionals, who have an opportunity to deliver real value to their organizations

While core metrics were down from a very impressive July, the August edition of the Non-Manufacturing Report on Business from the Institute of Supply Management (ISM) was still very strong.

Article Topics

News · EIA · Diesel Prices · Diesel · 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