Europe’s Diesel Market Flashes Warning of Supply Pressures
This article is for subscribers only.
Benchmark diesel futures are showing signs of market tightness in Europe, as fuel traders continue to face supply pressures.
The most-immediate contracts on Tuesday hit the steepest backwardation — where barrels for prompt delivery are more expensive than those further down the curve — since March. The structure is often interpreted as a sign of limited supply relative to demand, with traders willing to pay a premium for fuel that’s available sooner.