Diesel Prices Could Fall Below $2/Liter as Oil Prices Ease
Energy expert Peter Linder forecasts diesel prices could drop below $2 a liter in the coming months as oil prices ease. According to Linder, oil prices may fall to around $85 a barrel from their current level of $90 if tensions in the Middle East decrease.
Linder noted that ongoing tensions between the US and Iran remain a major wildcard, but both sides prefer to make a deal. He believes Trump needs to make a deal with Iran, which is suffering economically due to export restrictions.
The price of diesel has been high due to strong demand and weak supply. Linder stated that diesel supply out of Russia and the Middle East has been affected. An announcement by European countries to release up to 100 million barrels of crude oil and diesel could further pressure prices downward.