Holiday & Storm Impact

Since early June we have seen diesel prices add over $.30 in value, peaking last week ahead of the holiday.  We have peeled off almost half of that increase in last 4 days.  The run up is largely attributed chatter of a rate cut and the slow moving storm that finally hit Texas over the weekend.  As it sits now, most expect todays Inflation report to show some easing, but have now postulated the FED will sit tight on rates until at least September.  As for the storm, while Platforms and Refineries were idled, minimal damage was incurred.  The largest hurdle now is getting back to full power.  The lack of production was evident in the Inventory report this week that showed a 3.4mbl drop in crude which was largely discounted by traders.  Gasoline and Diesel inventories remain healthy versus last year and demand appears to have jumped on both, but that may be factor of the way the 4^th holiday fell this year versus last year.  Like the market, your business has a lot of factors that affect a smooth and successful operation.  Whoever said “Don’t sweat the small stuff”, obviously never ran a business. At DKB, we keep an eye on the many small things for you so you can run your business.  From free remote tank monitoring, barcoded deliveries, paperless invoicing and secure portal access to your account, we strive to make your days easier.  Look for pricing to cool off as we progress through the month, then rise again as the great rate debate takes center stage again.