Current trends suggest now may be the time to book farm diesel.
Farm diesel has fallen steadily over the month of November and continued into December, leveling off at $3.576 in last week's Monitor Index -- indicating a possible seasonal low is in place.
Distillate in storage made sharp gains compared to the five-year average last week. Stocks remain below the five-year average, but are trending toward the high side and should continue to ease prices.
As a result, we advise that now is a good time to refill tanks and book your needs for spring field work.
But demand for winter heating distillate may put upward pressure on pricing if we get an extended cold spell during the upcoming mid-winter months.
According to EIA, the national average highway diesel fuel price decreased four cents to $3.99 per gallon, 10 cents higher than last year at this time. The U.S. average highway diesel price has been below the $4-per-gallon mark three out of the last five weeks -- prices decreased in all regions of the nation.