Diesel Average Drops 1.8¢ to $2.814 Per Gallon in Seventh Consecutive Decline
Diesel’s national average price declined for the seventh consecutive week, slipping 1.8 cents to $2.814 per gallon, the Department of Energy reported July 13. That makes diesel $1.08 cheaper than a year ago, DOE said after its weekly survey of filling stations.
The seven-week stretch is the longest period of consecutive falling prices this year, and it's the lowest price for diesel since April 27.
The price of diesel fell in all but one region, paced by a 3.5-cent drop in the Central Atlantic. The price increased in the Rocky Mountain area, nudging up 0.2 cent.
Oil prices may fall further as the world remains “massively oversupplied,” before markets tighten in 2016 when output growth outside OPEC grinds to a halt, according to the International Energy Agency.
The average price of gasoline in the U.S., however, climbed 4.1 cents to $2.834, according to the DOE, despite the fact that gasoline prices are down overall in the past month as falling crude-oil prices reduced refiners’ costs for producing the motor fuel, Bloomberg News reported. Gas remained 80.1 cents cheaper nationally than a year ago. A 29.2-cent spike in the West was primarily responsible for the gas price surge.
"Southern California markets are experiencing a supply crisis because of refinery issues," said Trilby Lundberg, president of Lundberg Survey Inc.
Los Angeles-area refineries operated by Phillips 66, Valero Energy Corp. and Tesoro Corp. were said to be producing at reduced rates last week due to maintenance, people familiar with the matter said July 10. Exxon Mobil Corp. continued work on multiple units at its Torrance, California, site, including a fluid catalytic cracker that was damaged in an explosion in February.
Stockpiles of gasoline on the U.S. West Coast fell to 27.8 million barrels in the seven days to July 3, about 1.5% below the five-year seasonal average, government data shows.
U.S. average #Diesel fuel price on 7/13/15 = $2.814 DOWN $0.018 from week ago http://t.co/Hp45WCGGtK #truckers pic.twitter.com/qYDVoYoqp2
— EIA (@EIAgov) July 13, 2015
