Fuels Market Watch 24

Exclusive daily fuels market analysis by Dr. Nancy Yamaguchi.

FUEL MARKETS TODAY – Market Overview

Crude oil prices continued to climb over the past 24 hours, with trading halted on Labor Day. WTI (West Texas Intermediate) crude prices in today’s trading session opened at $69.89/b, up by $0.39 from yesterday’s opening. Gasoline prices opened slightly lower in today’s session, while diesel prices were up by a fraction of a cent. The week leading to the Labor Day holiday finished strongly in the black.

Product markets this morning are volatile with the approach of Tropical Storm Gordon, which is bringing heavy rains to southern Florida. The storm may be upgraded to a hurricane when it reaches the Gulf states. The latest forecast shows the storm hitting Alabama, Mississippi, and Louisiana later tonight and early morning Wednesday. There was an early morning surge in buying, now appearing to level off.

Futures markets are in a bit of a post-Labor Day slump. U.S. trade talks with Canada last week ended with no deal on NAFTA. Last week, the market had been pinning hopes on a successful meeting that would have built upon the agreement made with Mexico. U.S.-Canada talks will resume tomorrow. Trade war fears continue to place stress on emerging markets. The Turkish lira has suffered most among the key emerging market currencies, with other currencies also down, including the Indonesian rupiah, the Brazilian real, and the Iranian rial.

GASOLINE

Gasoline opened on the NYMEX at $1.9963 today, down fractionally by 0.07 cents from yesterday’s opening. Over the last 24-hour period from 9AM EST to 9AM EST, gasoline prices rose by 2.26 cents/gallon (1.12%.) This morning, gasoline prices surged, then quickly receded. The latest price is $2.0293/gallon.

DIESEL

Diesel opened on the NYMEX at $2.2465/gallon today, up by 0.34 cents from yesterday’s opening. Diesel prices last week rose by 4.38 cents/gallon (2.0%.) Over the last 24-hour period from 9AM EST to 9AM EST, diesel prices rose by 3.15 cents/gallon (1.39%.) This morning, diesel prices ramped up, then subsided. The latest price is $2.2854/gallon.

WEST TEXAS INTERMEDIATE

WTI (West Texas Intermediate) crude prices opened on the NYMEX at $69.89/b today, up by $0.09 from yesterday’s opening price. Over the last 24-hour period from 9AM EST to 9AM EST, crude prices rose slightly by $0.53/b (0.76%.) Currently, crude prices are rising. The latest price is $70.44/b.