Trump’s moves to boost diesel supplies have not yet lowered prices

U.S. diesel prices remain at near record highs, up 70% since the U.S.-Israeli war on Iran began despite two high-profile recent moves by President Donald Trump to boost supplies of the fuel: pressuring allies to release emergency reserves and expanding access to tax-exempt red-dyed diesel.

The wars in Iran and Ukraine have triggered an unprecedented global fuel supply crunch, pushing average U.S. diesel prices to $6.28 a gallon on Thursday according to AAA.

“Aside from a recession that hammers consumption, the only thing that can prevent oil prices from rising further and put them on a sharp downward trajectory is a durable end to conflicts in the Arabian Gulf and between Russia and Ukraine,” said Bob McNally, president of Rapidan Energy Group. “Otherwise, policy options range from marginal to counterproductive.”

High fuel prices have made it harder for Trump and his Republican Party to defend narrow congressional majorities in the November 3 midterm elections. The cost of living is the top item cited by voters in a Reuters/Ipsos poll, and high diesel prices put particular pressure on traditional Republican constituencies: farmers, truckers and rural voters.

Trump’s approval rating is at a record-low 32%, according to the poll.

The administration has…

Original source: https://www.nbcnews.com/business