Shortage of Truckers Could Lead to Fuel Shortages
April 30, 2021
US economic growth accelerated in the first quarter, supported by massive government aid to households and businesses. The Commerce Department said GDP increased at a 6.4% annualized rate in the first quarter. That was the second-fastest GDP growth pace since the third quarter of 2003 and followed a 4.3% rate in the fourth quarter.
The US Labor Department reported that 553,000 people filed for state unemployment benefits during the week ending April 24th compared with 566,000 the previous week. The four week moving average of claims fell to 611,750 in the week ending April 24th from 655,750 in the previous week. It reported that continuing unemployment benefits claims increased to 3.66 million in the week ending April 17th from 3.651 million in the previous week.
The National Tank Truck Carriers Association said there is currently a shortage of fuel tank semi drivers in the US which started before the pandemic and became worse during the pandemic. There may be shortages of fuel in certain parts of the US with nearly 25% of fuel tankers sitting idle.
Energy prices are lower this morning after several days of gains. This is likely profit taking after prices ran right up into resistance levels. Also getting some less than stellar economic news out of China as factory data slowed and COVID-19 cases continue to increase in India, Japan, and Brazil. Also putting some sell pressure on prices was the new that OPEC increased crude production by 100,000 bpd in April. Iran also continues to increase production as there has been no ramification from the Biden Administration giving more countries the courage to buy from Iran.