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The fuel price game

Published Wednesday, July 01, 2009

According to the “Short-Term Energy Outlook” published monthly by the U.S. Energy Information Administration (EIA), spot prices for crude oil and petroleum products increased for the third consecutive month in May. Now the EIA is forecasting average annual diesel prices of $2.40/gal. for 2009 and $2.67/gal. for 2010. Compared to the $3.80/gal. for diesel in 2008 and the $2.88/gal. in 2007, that still doesn't look too bad. Oil consumption also fell compared to 2008, although that decline is expected to moderate in response to the expected improvement in the global economy. Perhaps in anticipation of that returning demand, ...

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