DOE Boosts 2012 Diesel Forecast by 12¢, to $3.96 a Gallon
Diesel will average $3.96 this year, the Department of Energy said, boosting its most recent forecast by 12 cents on projected higher crude oil prices.
Diesel will decline next year to an average $3.73, DOE said in its most recent short-term energy outlook, released this week. That’s also up 11 cents from last month’s report.
Higher diesel prices this year are being led by increased oil prices, the report said. Crude will average $95.66 per barrel this year, up $1.76 from last month’s $93.90 projection.
Oil fell Wednesday for the first time in six days, slipping 16 cents to $97.01 a barrel on the New York Mercantile Exchange, Bloomberg reported.
Oil has finished Nymex trading over $97 just three times since mid-May — on Wednesday, Tuesday and on Aug. 22, according to Bloomberg Nymex figures.
Gasoline, meanwhile, will average $3.64 this year and $3.43 next year, both up about 11 cents from last month’s outlook.
Gas prices will begin to decline in late September, DOE said, and will average $3.58 in the fourth quarter, up 28 cents from last month’s forecast.
Last year, diesel averaged $3.84 and gasoline averaged $3.53.
DOE’s monthly outlook often lags its weekly price surveys. Both fuels have risen for 10 straight weeks following three months of downturns.
DOE’s most recent weekly survey released Monday showed diesel and gasoline prices at $4.132 and $3.847 per gallon, respectively.
