In 2024, motor carriers are expected to experience lower diesel prices and reduced volatility at the pumps, following a pattern observed in 2023 where fuel prices stabilized. GasBuddy’s Head of Petroleum Analysis, Patrick De Haan, anticipates a gentler year for diesel. The on-highway retail diesel price in the U.S. started the year at $3.876 per gallon, a significant drop from the 2023 kickoff price of $4.583 per gallon. American Trucking Associations Chief Economist, Bob Costello, predicts minimal movement in diesel prices throughout the year. Analysts highlight the challenges faced by OPEC in balancing revenue needs with output cuts amid record U.S. crude production.

Wood Mackenzie expects benchmark Brent crude to average $88 per barrel in 2024, and West Texas Intermediate crude to average $83 per barrel. Bank of America’s Francisco Blanch forecasts average prices of $90 per barrel for Brent and $86 per barrel for WTI due to OPEC+ alliance’s pledged production cuts. ING’s Warren Patterson notes a balanced crude market in early 2024, turning to a small surplus in the second quarter. Global oil demand is expected to grow by 1.1 million barrels per day in 2024, with diesel production increasing globally.

The article suggests that the diesel market is likely to see stability and lower prices in 2024, with factors such as OPEC decisions, global oil demand, and production levels playing key roles.

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