CEC Market Watch 6/12/2025

Cooperative Energy Trucks

🌾 Today’s Market News – Fuel & Energy Insights for the Upper Midwest

🇮🇶 Middle East Tensions Rise, But Oilfields Stay Active

Despite some serious concerns in the Middle East, foreign energy companies are continuing their operations in Iraq as usual, according to Iraqi officials.

This comes after President Trump announced that U.S. personnel are being moved out of the region, calling it “a dangerous place.” There are also reports that the U.S. embassy in Iraq may be evacuated soon due to safety concerns.

Still, Iraq says no oil companies have pulled workers or slowed production in the country’s southern oilfields—so far, it’s business as usual.


🛢️ OPEC Says Oil Demand Will Stay Strong for Decades

The head of OPEC (the group of major oil-producing nations) says global oil demand will keep growing through 2050 as the world’s population increases.

Here’s what he shared:

  • Oil demand could rise by 24%, reaching over 120 million barrels per day

  • OPEC believes we’ll need $17.4 trillion in oil and gas investments over the next 25 years

  • He praised Canada’s record oil production and supports carbon capture technology to lower emissions without abandoning oil and gas

That said, prices are still facing pressure right now due to rising supply and economic worries. Brent crude (a global oil benchmark) may fall below $60 a barrel by the end of the year.


📦 U.S. Fuel Inventory Report: Demand Picking Up

The EIA’s weekly report showed some interesting shifts last week:

  • Gasoline supplies rose by 1.5 million barrels

  • Diesel (distillate) supplies rose by 1.2 million barrels

  • Crude oil stocks dropped by 3.6 million barrels

Refineries are hitting their summer peak, running at 94.3% capacity—a strong sign for seasonal fuel output.

đźšś Gasoline demand rose to 9.17 million barrels per day, and diesel use ticked up to 3.38 million. Those numbers suggest more travel and ag-related fuel activity across the country.


📉 Market Overview: Prices Dip After Tensions Ease Slightly

Oil prices fell a bit Thursday morning, pulling back after a 4% jump the day before. The drop came after news that the U.S. is adjusting its presence in the Middle East ahead of upcoming nuclear talks with Iran.

Why it matters:

  • Traders are worried Iran could block the Strait of Hormuz, which moves 20% of the world’s oil

  • If that happened, fuel prices could jump quickly

  • Everyone’s watching Sunday’s talks between the U.S. and Iran—if things go well, prices could stabilize; if not, more volatility is likely


đź’ą WTI Crude Watch: Eyeing $70

West Texas Intermediate (WTI) crude oil has been climbing steadily and is now close to $67 per barrel.

Here’s what analysts are watching:

  • The big milestone is $70—if WTI can break through and stay above that, it may signal strong upward momentum

  • Right now, WTI has moved above key technical markers, like its 30-day and 100-day averages

  • The next hurdle is the 200-day moving average at $68.64

If prices stay above $66.29, that’s a good sign of strength. But if they fall below that, it might suggest weakness returning to the market.


📞 Questions about diesel supply or fuel planning this summer? Call your account manager—we’re always here to help.

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