This is Spreading - Joe Blogs

[TexasTowelie]

Diesel prices have just surged above $5 per gallon in the United States…

And that’s a major warning sign for the global economy.

This has only happened once before — during the 2022 energy crisis. And now it’s happening again.

In this video, I break down what’s really going on behind the latest surge in oil prices, why gasoline and petrol prices are rising around the world, and how this is now turning into a global diesel shock.

We’re already seeing fuel prices spike across the UK, Canada and Australia, as disruption in the Middle East begins to impact global energy markets.

But the key issue here isn’t just oil…

Diesel powers the global economy.

It fuels transport, farming, manufacturing and supply chains — which means rising diesel prices quickly feed into food prices, inflation and the cost of everyday goods.

I also explain why this is happening even in countries like the United States that don’t rely heavily on Middle Eastern oil — and why oil being a global commodity means everyone is affected.

With attacks on energy infrastructure continuing, and tensions around the Strait of Hormuz remaining high, the risk is that this situation could escalate further.

And if that happens…

The economic impact will be felt everywhere.

[AllaN01Bear]

1. dang nabbit jim kirk, go hydrogen.

[progree]

2. A perfect illustration - from someone living in the Philippines

https://www.democraticunderground.com/100221102975

The Philippines gets 98% of its fuel from the Middle East. Already the price of diesel (most passenger vehicles run on diesel) has skyrocketed. The price at the pump today in Iloilo Province was 98 Philippine Pesos (PHP) per liter. That translates to $6.28 a gallon. Before Trump's war, the price was about $3.50 a gallon. Gasoline, which is used mostly for motor bikes and three-wheel vehicles, is about $5.75 a gallon. Before the war, it was about $3.25 a gallon.

That's really not the worst part. This country only has a 50-day supply of reserve. If this war goes on for two more months, we're out of fuel.

And then on to the impact of higher fertilizer prices...

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And this ...
https://www.democraticunderground.com/?com=view_post&forum=1014&pid=3633795

. . . Working through that backlog [of ships bottled up in the Persian Gulf, or wanting to enter the Gulf] would take weeks even after the waterway is safe to pass, said Saleem Khan, chief data and analytics officer at maritime-intelligence firm Pole Star Global.

. . . Although the strait is 21 miles wide at its narrowest point, there are only two 1.86-mile stretches where water is deep enough for large oil tankers to pass, given how low these ships sit in the water. “This creates a two-lane highway for large vessels, one lane in and one out. The bottleneck here could last a few weeks at the very least,” he said.