U.S. Energy Prices Rise Following Weeks of Declines
Summary
- Gasoline prices up for the first time since the September 18 week.
- Crude oil costs up for the first time since the November 24 week.
- Natural gas prices up for the first time since the December 1 week.
Retail gasoline prices for all grades rose to an average $3.24 per gallon (1.1% y/y) in the week ending December 25 after declining to $3.18 in the week ending December 18. It was the first weekly rise since the September 18 week when the price reached a high of $4.00. The retail price for on-highway diesel fuel increased to $3.91 per gallon (-13.7% y/y) in the December 25 week, the first w/w gain since the October 23 week, after falling to $3.89 in the prior week. The latest price was up from a low of $3.77 in the July 3 week.
The price of West Texas Intermediate crude oil rose to $73.41 per barrel (-5.0% y/y) in the week ending December 22 after declining to $70.26 in the week ending December 15, registering the first w/w rise since the November 24 week and the highest price in three weeks. These were below a high of $91.45 in the September 29 week but above a low of $69.37 in the June 30 week. Prices remained significantly below a high of $120.46 in the week of June 10, 2022. Yesterday, the price was $75.57 per barrel. Brent crude prices jumped to $80.15 per barrel (-0.7% y/y) in the December 22 week, a three-week high, from $75.58 in the December 15 week. Prices remained below a high of $95.61 in the September 29 week and significantly below a high of $127.40 in the week of June 10, 2022.
Natural gas prices rose to an average $2.51/mmbtu (-60.5% y/y) in the December 22 week, the first w/w rise since the December 1 week, after falling to $2.38 in the December 15 week. Prices reached a high of $9.56/mmbtu in the week of August 26, 2022 and a low of $1.93 in the June 2 week. Yesterday, the price was $2.50/mmbtu.
In the four weeks ending December 15, gasoline demand rose 1.9% from a year earlier on top of a 2.3% y/y gain in the prior four-week period. Demand for all petroleum products increased 0.2% y/y after rising 0.6% y/y in the previous four weeks. Crude oil input to refineries declined 0.8% y/y in the latest four weeks after a 2.9% y/y drop in the prior four-week period.
Gasoline inventories rose 0.3% y/y in the December 15 week after a 0.2% y/y increase in the December 8 week. Residual fuel oil inventories dropped 12.1% y/y in the December 15 week following a 7.1% y/y decrease in the previous week. Crude oil inventories, including the Strategic Petroleum Reserve, dipped 0.1% y/y after a 1.7% y/y decline in the previous week.
Measured in days’ supply, gasoline inventories were 26.5 days in the December 15 week, slightly up from 26.3 days in the December 8 week. The recent high was 29.7 days in the January 20 week and the recent low was 23.4 days in the June 30 week. The supply of crude oil was 27.4 days in the December 15 week versus 27.6 days in the prior week. The recent high was 31.9 days in the March 3 week.
These data are reported by the Energy Information Administration of the U.S. Department of Energy. The price and supply/demand data can be found in Haver’s WEEKLY & USENERGY databases.
Winnie Tapasanun
AuthorMore in Author Profile »Winnie Tapasanun has been working for Haver Analytics since 2013. She has ~20 years of working in the financial services industry. As Vice President and Economic Analyst at Globicus International, Inc., a New York-based company specializing in macroeconomics and financial markets, Winnie oversaw the company’s business operations, managed financial and economic data, and wrote daily reports on macroeconomics and financial markets. Prior to working at Globicus, she was Investment Promotion Officer at the New York Office of the Thailand Board of Investment (BOI) where she wrote monthly reports on the U.S. economic outlook, wrote reports on the outlook of key U.S. industries, and assisted investors on doing business and investment in Thailand. Prior to joining the BOI, she was Adjunct Professor teaching International Political Economy/International Relations at the City College of New York. Prior to her teaching experience at the CCNY, Winnie successfully completed internships at the United Nations. Winnie holds an MA Degree from Long Island University, New York. She also did graduate studies at Columbia University in the City of New York and doctoral requirements at the Graduate Center of the City University of New York. Her areas of specialization are international political economy, macroeconomics, financial markets, political economy, international relations, and business development/business strategy. Her regional specialization includes, but not limited to, Southeast Asia and East Asia. Winnie is bilingual in English and Thai with competency in French. She loves to travel (~30 countries) to better understand each country’s unique economy, fascinating culture and people as well as the global economy as a whole.
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