Time to Look at Energy Cost

 

It is time to consider booking diesel fuel needs.  I have had a handful of clients looking at their local prices dropping aggressively over the past week or so and I am sending this Continuous Chart (always plots the front month contract) to put things in perspective.  This chart goes back roughly the last 18 months.  Heating Oil is the proxy for Diesel Fuel on the NYMEX exchange.  During 2019, futures traded back and forth in a range from roughly $1.75-2.10/gal.  Just two weeks ago, futures made a high of $2.1195 and this morning the front contract made a low of $1.7506.  If you haven’t been monitoring local fuel prices, at least for shorter term needs, now might be a good time to get a feel for the pulse of the cash market and talk to your supplier.

 

Brian Splitt

Partner – AgMarket.Net

Farm Division of John Stewart & Associates

2607 N Prindle Ave

Arlington Heights, IL 60004

 

815-665-0463 Desk

847-946-2080 Cell

bsplitt@AgMarket.Net

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