US Diesel Prices Hit Record High Amid Global Supply Crunch
US diesel prices hit a record high on Thursday as disruptions to global fuel supplies intensify. According to GasBuddy, the national average price for diesel reached $5.820 per gallon, narrowly surpassing the previous record of $5.819 set in June 2022.
The surge in diesel prices is attributed to renewed fighting between the US and Iran and continued attacks on Russian oil refineries, tightening the market for diesel and other refined fuels.
Market analysts expect diesel prices to remain under upward pressure as seasonal demand increases across key sectors of the economy. Farmers harvesting crops in the Northern Hemisphere will consume more diesel in the coming months, while preparations for the planting season in the Southern Hemisphere could further increase demand.
The combination of tight inventories and rising seasonal consumption may leave the US market vulnerable to additional price spikes.