June 18, 2013 | Weekly Fuel Market Update
On the market, oil stocks rose last week. Petroleum product demand was down. And prices increased steadily throughout the country.
The recent record highs among the states in domestic crude oil production has flipped a 16-year trend—for the first time since 1997, the U.S. produced more crude oil than it imported.
Market swings in crude oil sent prices fluctuating last week in the “Gulf Coast” and “Group 3″ Spot Markets. Crude oil prices have a huge impact on what you pay for wholesale fuel because the price of crude makes up over two-thirds of the cost of a gallon of gasoline. Even with such volatility, Desert Fuels has good supply in New Mexico based on partnerships with every major NM refiner, enabling us to haul from all terminals in the area at some of the most competitive prices around.
West Texas / El Paso
Supply tightened up this week in El Paso and West Texas. Gasoline and its wholesale price can have wild swings. It’s not unusual these days to see wholesale price swings of 10 cents or more in a given day. As prices swing, Desert Fuels can let you know the best time to consider buying, even if it means waiting a day or two based on how the market is trending. (Our PowerFuel™ App on your iPhone can do just that! Revolutionizing the way you buy wholesale fuel. Check it out here.)
For every +/- $1 change in the price of a barrel of crude oil, wholesale prices of diesel and gasoline correspondingly move approximately +/- 2.4 cents per gallon. Arizona’s fuel prices moved up this week mostly due to the crude oil price increase in the “Gulf Coast” and “Los Angeles” Spot Markets.
Colorado – Front Range
Colorado’s Front Range continues to enjoy some of the lowest prices of diesel in the country. Supply remains steady as refiners over the last few weeks have increased production with no major shutdowns. With its preferred relationships with the area’s major suppliers, Desert Fuels is right now delivering diesel in Denver and Colorado Springs at some great prices. We’re waiting for your call! (888) 750-FUEL (3835)