Commodities

Goldman Sachs sees high diesel prices persisting through 2027

Goldman Sachs says tight refinery capacity will keep diesel prices elevated through 2027.

The bank says high refining margins are needed to curb demand and rebuild inventories, as refineries struggle to meet demand.

For beginners The refining margin is the gap between the price of crude oil and finished fuel like diesel; when refining capacity is scarce, that margin widens, making fuel more expensive for end users even if crude prices stay stable.