Diesel Futures Signal the Cost of Filling Up the Truck Might Have Peaked
- Less bullish futures structure could signal prices will ease
- Stockpiles remain low but a break in cold weather is coming
This article is for subscribers only.
The premium on the nearest U.S. diesel contract collapsed on Thursday by the most since April 2020 as milder weather next month may reduce its demand for heating.
The so-called prompt spread between front-month and next-month diesel futures traded 1.16 cents lower at about 4.43 cents per gallon at 3:15 p.m. on the New York Mercantile Exchange. That’s just one day after it reached the most bullish structure since 2015.