With a recent plummet in gas prices late in 2014 to around $2 per gallon, diesel still remains to be around $3 or more in most markets. The winter season usually creates a bigger spread between gasoline prices and diesel prices because of a high demand for heating oil, as is evident this year with diesel being around $1 more. One explanation for this is that the global gasoline market is much larger and responds quicker to competition. However, it is expected that diesel prices will drop dramatically in the near future due to many factors including the end of harvesting season in the Midwest and a more mild winter than the past few years. China and many other countries have also built multiple refineries in the last 5 years to maximize diesel production for a good profit. Soon, diesel production will outpace demand and prices will fall another 40 to 50 cents.

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