Fuel

The oil market is risking a supply crunch as producers cut spending on major projects to focus on short-term low-cost shale output in the United States, some of the top crude and products traders said.

Mexican miner Grupo Mexico said on March 28 it had acquired Florida East Coast Railway for $2.1 billion, a rare acquisition that comes as U.S. President Donald Trump has been trying to renegotiate trade ties between the two countries.

The U.S. average retail price of diesel fell 0.7 cent to $2.532 a gallon and crude oil prices extended a bumpy monthlong slide in prices, dropping below $48 a barrel, experts said.

Oil producers pledged to consider extending their pact limiting supply, as half a dozen nations said more time was needed to drain swollen stockpiles.

COLUMBUS, Ind. — Nikola Motor Co. is in discussion with the three largest truck stop operators to offer hydrogen fuel and, separately, with seven states interested in being home to its production facility as it prepares to launch in mid-2020 its zero emissions, hydrogen-electric Class 8 truck, a company executive said.

President Trump is making good on his promise to approve the Keystone XL oil pipeline — but the fight is far from over.

Oil was little changed before a meeting between OPEC and its allies that may signal the outlook for extending their output curbs.

Rep. Peter DeFazio (D-Ore.) introduced a transportation infrastructure bill on March 22 that he said will increase the gasoline and diesel tax by about a penny to provide about $500 billion in funding to rebuild U.S. roads, bridges and transit systems.

The U.S. average retail price of diesel declined 2.5 cents to $2.539 a gallon, according to the Energy Information Administration of the Department of Energy.

Oil fell as U.S. drilling continued to rise, undermining the potential for even an extended OPEC output-reduction deal to rebalance the market.