Global crude oil markets pushed higher at the start of the week, driven primarily by ongoing conflict between Russia and Ukraine. Despite the upward movement in crude, retail fuel prices across the country continue to show a mixed trend.
Patrick DeHaan, senior petroleum analyst for GasBuddy.com, noted significant divergence across state lines, with approximately 30 states seeing pump prices drop while 20 states recorded increases. Nationally, diesel averages offered slight relief for commercial haulers and ag producers, dipping roughly six cents over the past week.
Across the Southern Plains and Midwest, local diesel prices remain significantly below the nation-leading highs seen on the West Coast, where California sits at $8.36, Washington at $7.33, and Hawaii at $7.22 per gallon. Across the regional ag belt, state diesel and regular fuel averages reflect a tighter spread:
- Oklahoma: Diesel averages $5.90 per gallon, with regular unleaded at $4.00 per gallon.
- Texas: Diesel averages $5.80 per gallon, with regular unleaded at $3.83 per gallon.
- Kansas: Diesel averages $6.01 per gallon, with regular unleaded at $4.00 per gallon.
- Missouri: Diesel averages $5.99 per gallon, with regular unleaded at $3.97 per gallon.
- California: $8.36 per gallon
- Washington: $7.33 per gallon
- Hawaii: $7.22 per gallon
To address national diesel tightness, President Donald Trump announced a plan for Russia to ship more than 300,000 metric tons of diesel—roughly 2.25 million barrels—to the United States.
However, market analysts emphasize that key details surrounding the logistics and mechanics of the arrangement remain unanswered by the administration. DeHaan pointed out that with the U.S. currently exporting about 1.3 million barrels of diesel per day, questions remain regarding where imported barrels would flow or whether the federal government would handle purchases directly.
While the announcement exerted some minor psychological pressure on market trading, DeHaan emphasized widespread skepticism among traders regarding whether Russia can fulfill the supply commitment given ongoing geopolitical and logistics hurdles.
