What drives petroleum product prices: Overview

Although crude oil prices receive a lot of media attention, consumers purchase petroleum products refined from crude oil rather than the crude oil itself. Refiners produce many petroleum products from crude oil for a wide range of applications. Prices for some petroleum products, such as gasoline, are very visible to consumers, while others are much less so. This section focuses on the two most prominent groups of petroleum products—gasoline and distillate (or diesel fuel).

Here, we present an analysis of six key factors that influence petroleum product markets, including both physical market dynamics and influences from trading and finance, and examine their connections to petroleum product prices.

This resource serves as a guide for those seeking a deeper understanding of petroleum product markets.

Key factors influencing petroleum product prices:

• Spot prices
• Consumption
• Production
• Financial markets
• Trade
• The supply demand balance: inventories

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Contact

• Petroleum and liquid fuels markets team
• eiainfopetroleum@eia.gov