Energy Market Updates

It is amazing that with over 25 years in this industry you can still see something new. Monday brought the most volatile day on record for diesel futures. The trading range from low to high was over $1.20…. in one day! Tuesday and Wednesday saw ranges of over $.50! As we stand right now, pricing is roughly $1.50 higher since the Iranian conflict started. Again, the US doesn’t have a supply problem, but because oil commodities are a world basket of pricing, the shipping bottleneck around the Straits of Hormuz is causing the increases. Releasing oil reserves, while largely symbolic, will take 3 to 4 weeks to hit markets. The only cure is to get vessels moving again. The Saudis are at max capacity of their Petroline, an east-west pipeline to the red sea, unfortunately it brings back into play the Houthis attacks around the Yemen coast.

Well, That escalated quickly. Since news broke early Saturday morning of the joint US-Israeli strike on Iran, ULSD futures are up over $1.00 and Gasoline is up roughly $.35. Everyone has asked why ULSD much more than Gasoline. The partial answer is three-fold.

 As much of the northeast is still digging out of the blizzard, Thank You for keeping those fills and access ways clean. With some local communities still enforcing...

Distillate pricing now sits almost $.60 more than the first of the month. A dramatic rise fueled by renewed pressure on Iran, Cold covering half the country, a massive east coast storm and a surprise pause in Interest rates.

My mother always said “some things are better left unsaid”.  Topics like Religion, your In-laws cooking, or desire to annex Greenland.  Typical stuff.  As the week started,...

It has been yet another bizarre week in the fuel world, although we are relatively numb to the bizarre.  Almost two weeks after the removal of the former Venezuelan dictator, markets jumped roughly $.20 as focus shifted to the next crisis, Iran.   One would have thought we would see some additional downside or at least a calm period as the US tries to figure out its restructure plan for Venezuela.   

The period between Christmas and New Years is historically a calm one in the fuel markets. Traders tend to balance out positions, end user demand dips with time of and...

Like most things, it has taken me a while to catch on. (except the bold 12-5 Patriots prediction) But I think I may have finally understood what the new obsession with...

In a world of online shopping and self-checkout, we often lose sight of the things that really matter. We got to this place because of our hectic lives, be it at home,...

It’s always the final mile, the last yard, in our case, the last $.15 that is the toughest. Coming off of the Holiday break, the collapse of futures has eased somewhat....