US Diesel Inventories at Risk of Critical Level by August, Goldman Warns

Goldman Sachs has warned that US diesel inventories are at risk of falling to critically low levels by August if geopolitical tensions around the Strait of Hormuz persist. The bank notes that current diesel stockpiles are at their lowest since 2003.

At the current depletion rate, supplies could cover only 20 days of consumption by August, marking a severe shortage. The warning underscores the vulnerability of energy markets to disruptions in the Middle East, particularly through the key chokepoint of Hormuz.