Comments on the Weekly Intermodal Rate Charts:
Domestic intermodal spot rates are:
- Down 1.0% from last week.
- Up 10.3% from 90 days ago.
- Up 16.3% from prior year.
While rates are slightly down, make no mistake that peak season is here with the the entire state of California now called out as a constrained market, with box allocation and surcharges firmly in place. Peak is one full month ahead of last year.
Diesel Fuel Comments:
The EIA reported average diesel fuel price of $2.598 per gallon this week, which is a $0.017 increase from the prior week. The price per gallon is up $0.288 or 11.1% higher from the same period last year.
Oil prices are sliding back to the mid $40 a barrel price, with WTI and Brent crude trading at $47.60 and $50.85 a barrel this week, respectively. The story continues to be around supply outpacing demand. OPEC is holding onto production cuts with hopes to help drive WTI up to and above $50, while US drillers continue to pump more into the market than demand dictates when oil prices approach $50 The end result is WTI being price bound between $45 and $50 a barrel. The weekly Baker Hughes rig count chart helps to illustrate the point. All-in, oil is a battle ground topic that will continue for months to come, as oil producers need the cash to stay afloat and without price their only option is to pump more into a market that is not needing more.
The full spreadsheet of the historical weekly price moves of diesel full can be found at https://www.eia.gov/petroleum/gasdiesel/.
Graphs listed below include:
- 53' Domestic Intermodal Price Index & Diesel Fuel Prices
- Price Changes in 53' Domestic Intermodal Pricing & Diesel - 1/1/2013 Baseline
- Rolling Quarter-over-Quarter Comparison - 53' Domestic Intermodal and Diesel Fuel Prices
- Rolling 52 Year-over-Year Comparison - 53' Domestic Intermodal and Diesel Fuel Prices
- Rolling 52 Year-over-Year % Change - 53' Domestic Intermodal and Diesel Fuel Prices
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