Diesel prices fall for sixth straight week, according to EIA

The price per gallon for diesel gasoline continued heading south, falling 0.8 cents to $3.783 per gallon, according to the Department of Energy’s Energy Information Administration (EIA).

By ·

The price per gallon for diesel gasoline continued heading south, falling 0.8 cents to $3.783 per gallon, according to the Department of Energy’s Energy Information Administration (EIA).

This most recent decline represents the sixth straight week prices have fallen, with prices down a cumulative 22.7 cents during that period. And prior to this four week decline, prices were up a cumulative 12.3 cents over a two-week period. This week’s price is the lowest price diesel prices have hit since the week of October 10, when it was at $3.721 per gallon.

Compared to the same week a year ago, the average price per gallon of diesel is up 45.2 cents, down sharply from annual comparisons in the mid-80s range just a few weeks ago.

Despite the recent weekly declines in the price per gallon for diesel, many shippers have told LM they are forecasting for steady fuel increases in their supply chain and transportation budgets should diesel prices continue to hover around the $4 per gallon mark.

This was evident in the results of a recent Logistics Management reader survey, which found that nearly 40 percent of 344 respondents said their average fuel surcharges are 20 percent or more above base rates. 

Robert W. Baird and Co. analyst Benjamin Hartford wrote in a recent research note that though the modest decline [of diesel prices] in recent weeks provides some relief, the absolute level of fuel prices and the rise from the 4Q low of $3.72 in early October to over $4.00 in late November presents a modest headwind for truckers and railroads.

The price per barrel of oil was at $102.96 on the New York Mercantile Exchange late Tuesday. An Associated press report noted that “an improving U.S. economy” was providing a lift to oil prices, adding that crude oil has gone up significantly from the $75 per barrel range in October, “amid evidence the U.S. economy is slowly growing and may avoid recession this year.”


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 · Fuel · All Topics
Latest Whitepaper
Managing Global Transportation: How NVOCCs can operate more profitably
Global transportation isn’t getting any easier to manage. With new rules and regulations to learn, new compliance requirements to adhere to, and new customers and business partners to onboard, navigating the complexities of the global market can be difficult for any company. To fully leverage their global supply chains, firms need a robust, global transportation management system that helps them navigate this ever-changing environment.
Download Today!
From the July 2016 Issue
While it’s currently a shippers market, the authors of this year’s report contend that we’ve entered a “period of transition” that will usher in a realignment of capacity, lower inventories, economic growth and “moderately higher” rates. It’s time to tighten the ties that bind.
2016 State of Logistics: Third-party logistics
2016 State of Logistics: Ocean freight
View More From this Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly email newsletter!
Latest Webcast
Getting the most out of your 3PL relationship
Join Evan Armstrong, president of Armstrong & Associates, as he explains how creating a balanced portfolio of "Top 50" global and domestic partners can maximize efficiency and mitigate risk.
Register Today!
EDITORS' PICKS
Regional ports concentrate on growth and connectivity
With the Panama Canal expansion complete, ocean cargo gateways in the Caribbean are investing to...
Digital Reality Check
Just how close are we to the ideal digital supply network? Not as close as we might like to think....

Top 25 ports: West Coast continues to dominate
The Panama Canal expansion is set for late June and may soon be attracting more inbound vessel calls...
Port of Oakland launches smart phone apps for harbor truckers
Innovation uses Bluetooth, GPS to measure how long drivers wait for cargo