For the week ending Aug. 15, the U.S average price of diesel fell 8.2 cents to $4.991 per gal., the eighth consecutive week diesel prices have fallen, according to the U.S. Energy Information Administration (EIA).
This marks the first time in the last six weeks that prices dropped less than 10 cents a gallon. On average, diesel is still $1.555 more per gallon than it was the same time last year, the U.S. Department of Agriculture said. Also, on Aug. 16, the price of West Texas Intermediate crude oil fell below $87 bbl., its lowest level since Feb. 1.
From 2000 to 2021, crude oil prices accounted for about 50% of monthly average U.S. retail on-highway diesel fuel prices, the USDA said. The drop in oil prices were a result of an economic slowdown in China, the world’s largest oil importer. Oil prices have also reportedly reacted to a possible trade deal to allow more Iranian oil exports.
