Diesel Prices Remain Firm Under Pressure From Market Fundamentals

This article has been reprinted from USDA's Nov. 7 Grain Transportation Report.

For the week ending November 4, diesel fuel prices decreased slightly from the previous week, falling 0.2 cents to $3.062 per gallon.

In the previous week (ending October 28), prices had increased 1.4 cents per gallon in response to increasing crude oil prices, which had gained 5 percent from October 21 to 25.

Additionally, according to the Department of Energy’s Energy Information Administration, the distillate fuel market is confronting both stocks that have fallen each week since early September as well as distillate demand that has steadily increased during the same timeframe.

These dynamics put upward pressure on diesel fuel prices.