The national average price of a gallon of diesel fell for the second straight week, dropping just over 18 cents after a 14-cent decline the week before. The U.S. Energy Information Administration reported the average moved from $6.382 to $6.199 per gallon.
Every reporting region posted a decline. The Lower Atlantic and Midwest regions recorded the largest drops, each near a quarter per gallon. The Lower Atlantic average fell from $5.953 to $5.699, a decrease of just over 25 cents. The Midwest average fell exactly 24 cents, from $6.526 to $6.286.
Crude oil prices also moved lower. According to Associated Press reporting on Tuesday, Brent crude, the international standard, was down 1.3% to $99.07 per barrel, back below the $100 mark. That level remains well above the roughly $72 per barrel recorded in late February. Benchmark U.S. crude lost 1.7% to $87.91 per barrel.
Analysts attribute the easing to larger volumes of oil crossing the Strait of Hormuz and a recovery in flows through Saudi Arabia's East-West pipeline. ING commodities strategists Warren Patterson and Ewa Manthey wrote that growing signs of a recovery in Persian Gulf oil flows are visible, while the market stays nervous about potential supply disruptions from the region, which keeps prices well supported for now. Tensions between the United States and Iran remain high.
Diesel is the primary operating fuel for heavy trucks, so weekly changes in the EIA average feed directly into carrier operating costs and fuel surcharge calculations across the trucking industry.
Source: The Trucker - https://www.thetrucker.com/trucking-news/business/diesel-prices-drop-again-3