Diesel Prices Climb on Tight Supply and Higher Demand, Raising Inflation Worries

Tight distillate supply raising inflation concerns as diesel prices rise amid low inventories and refinery maintenance.
Diesel futures climbing in the U.S. while East Coast scrambles for winter fuels.
Higher diesel prices likely to increase costs for manufacturing, trucking and broader economy.
Low distillate inventories globally, not just the U.S., tightening markets further.
OPEC+ supply cuts reducing availability of crudes ideal for making diesel, adding pressure.

oilprice.com

Relevant topic timeline:

8/22/2023

Traders Are Betting On A Tightening Global Diesel Market

Diesel prices have surged due to lower inventories of middle distillates in the US and Europe, with hedge funds betting on higher prices amid concerns about reduced supply and increased demand. Refining margins have also strengthened as a result of tighter supply of crude and fuels.

9/14/2023

Producer Prices See Largest Monthly Increase Since June as Inflation Pressures Persist

Producers are facing a sharp increase in prices, indicating that inflation pressures will not ease anytime soon.