I noticed this morning ULS Diesel futures sitting around $2.89 a gallon. A few months ago the price was over $3 then it dropped around the start of the year to just under $2.70, which had Errol saying this was evidence of the deflation to come. Now pump prices for clear diesel in Alberta are $1.60 and up from there. Hmmm, so much for deflation.
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I believe the rerouting of ships from the Suez and Panama canal is having an impact on bunker fuel demand. While gasoline demand remains lackluster. More demand for diesel fuel and related products, especially without associated demand for gasoline, results in higher prices for diesel.
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Just booked at coop last Friday for $1.04. Low was $0.96 a few weeks before. Refinery shutdown was reason I was hearing as well.
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