Diesel Climbs 2.3 Cents to $3.43 per Gallon

The U.S. average retail price for a gallon of diesel fuel increased for the eighth straight week, advancing 2.3 cents from the previous week to $3.43 per gallon, up 59.7 cents from a year ago and matching a price not seen since mid-October 2008.

The gain is part of a trend of rising gasoline and diesel prices tracking the increases in crude oil futures, according to the U.S. Energy Information Administration.

From June through September, retail diesel prices remained fairly steady, staying just under $3 per gallon. In the first week of October, they topped $3 and have climbed 43 cents beyond it in the 16weeks since then, said EIA. Over the same 16 weeks, crude oil prices increased, from $82.82 per barrel to $89.11 per barrel, a $6.29 increase, on the New York Mercantile Exchange.

By The Numbers: U.S. Diesel Prices

Crude oil prices have been rising because of world petroleum demand growth, particularly in non-Organization for Economic Cooperation and Development Asian countries such as China and India, said EIA, which expects continuing tightening of world oil markets over the next two years, keeping upward pressure on crude oil prices.

Extrapolating from EIA figures, diesel prices are likely to average $3.60 or more during the summer and could exceed $3.90 per gallon by September.

The highest regional average price last week was $4.531 per gallon in the West Coast. But New England saw prices surge 4.9 cents to $3.609 per gallon. East Coast prices averaged $3.48 per gallon.

The nation’s lowest prices were in the Gulf Coast, where diesel climbed just 1.6 cents to $3.382 per gallon.

The biggest change was a 3.2 cent jump in the East Coast. The smallest change was an increase of 1.4 cents to $3.388 per gallon in the Rocky Mountains.

-- Contact Thomas L. Gallagher at tgallagher@joc.com.