Diesel prices fall for second straight week
June 04, 2013
Diesel prices headed down for the second straight week, according to the Department of Energy’s Energy Information Administration (EIA).
The average price per gallon fell 1.1 cents to $3.869 per gallon, following a 1.0 cent decrease last week. Prior to these two weeks of gains, prices were up a cumulative 4.5 cents over the previous two weeks.
And before that diesel prices declined for ten straight weeks and dropped a cumulative 31.4 cents. Prior to the previous ten weeks of declining prices, diesel prices rose a cumulative 26.5 cents over a six week span. And on an annual basis, the average price per gallon is down 1.7 cents.
The EIA recently updated its short-term energy outlook. It is now calling for diesel prices to average $3.93 in 2013 (up from $3.90) and $3.79 in 2014 (down from $3.80), with WTI crude oil at $93.17 in 2013 (up from $91.92) and $92.25 in 2014 (up from $92.17).
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.
And they continue to be proactive on that front, too, by taking steps to reduce mileage and transit lengths when possible as well as cut down on empty miles. And even through shippers want to adjust budgets in order to offset the increased costs higher fuel prices bring, it is not always an easy thing to manage.
Shippers have told LM that adjusting budgets is only part of the solution when it comes to dealing—and living—with fuel price fluctuation.
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