Weekly diesel average sees steepest decline since 2008

The national average price per gallon of diesel gasoline continued on its pattern of ongoing declines, for the week for July 25, according to data issued this week by the Department of Energy’s Energy Information Administration (EIA).

The national diesel average—at $5.268 per gallon—fell 16.4 cents, marking the steepest annual decline going back to the week of October 27, 2008, when it fell 19.4-cents, to $3.288.

This week’s decline also eclipsed the week of July 18, which dipped 13.6-cents, to $5.432 per gallon, which, at that time, represented the steepest annual decline going back to the week of December 22, 2014, when the national average fell 13.8 cents to $3.281 per gallon.

These declines are the most recent in a series of steep ones in recent weeks. The July 11 average—at $5.568—fell 10.7 cents below the week of July 4, which came in at $5.675. And that decline was in line with a 10.8-cent decline, from the week of June 27, which was at $5.783. The decline from the week of June 20—at $5.81 (the all-time high reading)—to the week of June 27, was less significant, down 2.7 cents.

What’s more, over the last five weeks, going back to the all-time high of $5.81, for the week of June 20, diesel prices have fallen a cumulative total of 54.2 cents, based on EIA data.

Compared to the same week a year ago, this week’s diesel average is up $1.926, down from recent spreads, for the weeks of July 18 and July 11, at $2.088 and $2.23, respectively.

West Texas Intermediate Crude oil is currently trading at $95.41 on the New York Mercantile Exchange, down from $102.31 a week ago at this time.

The EIA’s Short-Term Energy Outlook estimates that 2022 and 2023 diesel averages will come in at $4.73 and $4.07, respectively, with WTI crude estimated at $98.79 and $89.75, respectively, for the same period.