Market participants appear to be taking a softer stance on diesel futures over the last week. As of this morning we are down roughly $.30 from Friday, but there is still a lot of day left. As I have spoken with a number of folks, the intraday swings from high to low is amazing. Seeing a trading range of $.20 per day is not unusual. Back in the day, if the market moved more than a penny, it was cause for an internal meeting. Outwardly, the US appears to be standing firm on Iran with new shipping transit warnings and renewed threats of military action. Behind the scenes, reports suggest the Vice President has reached out to Iranian officials to meet and “put an end to the ongoing tensions”. On the flip side, we look to have given Russia a hall pass on selling some of its diesel. Highly unlikely that it will reach a US port due to legislation that no bank or trading firm will touch, more logical discharge point is Cuba. Domestic inventories of distillates is a renewed concern, hovering at an 11 year low presently, largely due to the backwardation in place and a demand spike the last two weeks with Midwest harvest and cold. Supply will be an issue for some, specifically at month ends. Having the right Team in your corner over the next few months is critical. “Make future plans or dream about yesterday” (title & artist for a DKB hoodie)