Surprisingly Good News as Far as Diesel Prices are Concerned
Posted by Brandy Alvarado on Mon, Jul 19, 2010 @ 12:12 AM
Gas guzzling news is nothing new. Summer temperatures often equate to higher pump price – often as a result of increased consumption as vacationers hit the road for vacation. This past Spring/Summer brought about unique circumstances including a catastrophic oil spill. Seasonal circumstances though have not affected fuel prices as most would expect them too. Case in point – diesel prices have remained steady.
Today, FleetOwner.com, reported, “
According to the Dept. of Energy’s latest Energy
Information Administration (EIA) Weekly Retail On-
Highway Diesel Prices report, as of July 12th the
average diesel price was $2.903-- down 21 cents from
the $2.924 posted the week before. And since the May
17th EIA report, the national average price has
dropped each week,” (www.fleetowner.com.)
Giving the current economic and environmental climate not just in the United States but throughout the world, logical thinking would presumably lean towards higher fuel prices. The opposite is true however. The two year slow down in world-wide economies has lead to a decrease in demand for fuel. Barrel price are heavily influenced on supply and demand, and the drop in immediate need has lead to a drop in prices as well
FleetOwner.com also associated the drop in diesel prices to , “Second, U.S.
refining capacity is working at full tilt with no
major outages,” (www.fleetowner.com.)
Transportation industry forecasters predict steady diesel prices will remain intact at least till 2011 when the economy is expected to gain ground.