Earlier this month, freedom protests disrupted the propane supply-chain in Eastern Canada. Consequently, supply dropped and prices continued to climb.
Russia’s invasion of Ukraine further impacted the price of propane, as NATO economic sanctions, including the shutdown of the Nordstream 2 pipeline, have manipulated global markets.
February has been mild, overall, causing degree day gains to subside; though the next week expects to be cold in south-western Ontario.
Regarding fuels and distillates, we are experiencing record high prices at the pumps. Crude has exceeded $100/barrel. The conflict in eastern Europe will certainly further exacerbate prices. U.S. President Joe Biden has vowed to take corrective action to mitigate the price impact of the Ukraine invasion. However, as we continue to experience the economic impact of the Covid-19 lockdown measures, the market remains very much unpredictable.