Diesel fuel prices in Europe hit their lowest point in three months this week as imports from the United States and Russia surged.
Bloomberg News said barges of diesel traded for $9 a metric ton more than the June contract on the ICE Futures Europe exchange Monday, the lowest for this time of year since 2003 and a 66 percent decrease from April 15. The profit margin dropped 18 percent since the middle of April to about $12.
U.S. shipments this year have averaged 321,000 barrels a day, up from 304,000 in 2013, and shipments doubled in January and February from the previous year.
“Europe looks extremely well supplied,” Steve Sawyer, an analyst at FGE, a consultant, told Bloomberg. “I would expect both Russian and U.S. refiners to be pushing their rates during the summer and looking to Europe to dispose of the product.”