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Russia’s invasion of Ukraine could have ripple effects throughout the supply chain and trucking, as oil prices have soared and cyber security experts say cyber attacks won’t likely remain inside Ukraine’s borders.
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Diesel prices have risen to their highest since the end of 2014, and crude oil prices don’t show signs of improving anytime soon.
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Diesel and crude oil prices are the highest recorded in years as consumption surges in the U.S.
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The increase in crude oil prices – and therefore diesel prices – is led by recovering demand and suppressed supply, the roll-out of the COVID-19 vaccine, and falling inventories, analysts say.
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Oil prices bounced back last week, jumping to more than $30 a barrel. While some see this as a positive, there might be more to consider below the surface, both literally and metaphorically.
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Diesel prices are once again down this week, dropping an average of 39 cents a gallon since last week and by $1.114 since last year.
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After West Texas International (WTI) crude prices almost ended last week with historic low of $17.31 per barrel before eventually settling at $18.27, the benchmark price for crude oil in the U.S. dropped to negative $37.63 late Monday.
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A sudden war in crude oil prices between Russia and Saudi Arabia could mean a drop in diesel and gasoline prices at American fuel pumps. But the longer-term implications are more worrying.
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U.S. diesel prices were up nearly 2 cents per gallon from a week ago and more than 6 cents per gallon compared to a year earlier, as crude oil prices rose to their highest since early July.
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Despite tensions in the Middle East, average diesel fuel prices last week dropped almost 2 cents from the week before, although they’re still 71 cents higher than a year earlier.
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