Global Diesel Hits $5.78 a Gallon as Iran War, Russian Ban Squeeze Supply

3 articles · Updated · NBC News · Sep 3

$5.78 per gallon diesel Thursday marked the highest U.S. average since 2022, up more than 53% from $3.76 when the Iran war began in late February.
Supply strains are coming from two fronts: attacks and U.S. strikes have kept Strait of Hormuz traffic minimal, while Russia halted diesel exports through end-September after Ukrainian refinery drone attacks.
ING said the combined disruptions equal about 20% of global seaborne diesel trade, helping keep Brent near $95.52 after topping $97 and lifting gasoline to a $4.14 national average.
Diesel's jump threatens to raise fall food and freight costs because it powers trucks, trains and farm equipment, even as Trump said U.S. strikes would not last too long.
Markets are also bracing for stickier inflation and possible Fed tightening; Waller said energy has not yet broadly fed into prices but would consider a hike if August data runs hot.