[Teeth53]

“Every 10% that fuel prices go up there's a point three percent increase in inflation. So that's what consumers are going to see.

Soaring diesel prices are further threatening the supply chain along with the trucking industry.

Citi noted in a Monday report that diesel prices increases up to that point had already led to decline in the freight industry’s free cash flow from 21% in March to 19% in April.


Russia’s war on Ukraine has led to a tightening of global diesel supplies and soaring margins for U.S. refiners who are exporting record volumes from the U.S. Gulf Coast region, with the EIA reporting Wednesday that distillate and gasoline inventories had declined once again with diversions to exports.

Gasoline inventories fell by 2.2 million barrels for the week ending April 29, compared with a decline of 1.6 million barrels a week earlier. In middle distillates, the EIA estimated an inventory draw of 2.3 million barrels, compared with a decline of 1.4 million barrels for the previous week.