Diesel Blow-Out

Diesel going bonkers

Diesel Blow-Out
Photo by Zachary Musser / Unsplash
$4.50 per gallon. No, that's not the price of diesel, thats the diesel crack spread this week which has exploded to all-time highs.

High demand, combined with low US and global diesel inventories are driving the push higher, perhaps helped with off-sides trading positions.

Consumers are paying nearly $190/barrel equivalent for diesel when combining the price of oil and the diesel crack spread, also an all-time high.

Diesel drives much of global economic transport, adding another woe to the inflation picture.

$4.50 per gallon crack spreads works out to roughly $86 per barrel.

The implied 'all-in' price of wholesale diesel is at an all-time high, near $190 per barrel.