Why U.S. Diesel Demand Is Underwhelming

Lackluster diesel demand in the United States has weighed on oil market sentiment and oil prices in recent months. U.S. diesel demand has been underwhelming so far this year. Alongside weaker-than-expected gasoline demand, diesel consumption in the first five months of the year signals weakness in manufacturing and the economy, as well as the rise in renewable diesel supply substituting larger volumes of petroleum-derived distillates. U.S. manufacturing output has been essentially stagnant over the past six years, Reuters columnist John…