Growing uncertainty over economic growth is beginning to weigh on the oil price rally. Slowing demand and the historic strategic petroleum reserve release have been major factors in the selloff. Diesel demand is expected to drop by as much as 15%, adding further downward pressure to oil prices. The oil price rally has really cooled down over the past three weeks, with oil prices declining to levels last seen prior to Russia’s invasion of Ukraine. A massive increase in interest rates by the Fed, pandemic-related lockdowns in Shanghai, slowing U.S. oil demand growth, and a historic strategic petroleum reserve release have all contributed to the selloff. That said, whereas it’s crude markets that have been hogging the limelight, the most dramatic action in global oil markets has been happening in a more hidden corner of the market: distillate fuels. The price of diesel and jet fuel in Europe has […]