The diesel problem that could spoil Bitcoin’s hopes for cheaper money

U.S. inventories of distillate fuel oil, which includes diesel and heating oil, fell below 100 million barrels in the week ended Oct. 30, even as the latest surveyed fuel prices declined. The smaller stock buffer leaves fuel costs a potential obstacle to inflation relief and easier financing for Bitcoin investors.The U.S. Energy Information Administration's Nov. 4 report showed stocks of 99.26 million barrels, down from 102.82 million a week earlier. That 3.57-million-barrel decline left inventories 13% below their five-year average.U.S. on-highway diesel averaged $6.29 a gallon on Nov. 2, down 6 cents in a week. EIA's surveyed residential heating-oil average fell 9.2 cents to $6.14 a gallon over the same period. Diesel prices include taxes; the heating-oil series excludes them.Both fuels remained substantially more expensive than a year earlier: diesel was up $2.54 a gallon and residential heating oil was up $2.51.There is also continuing refinery supply. Utilization increased to 94.5% from 92.8% in the week ended Oct. 30, although distillate production edged down to 5.154 million barrels a day from 5.161 million. Higher overall refinery activity therefore coexisted with a further...