DIESEL SPIKE HITS THE REAL ECONOMY Diesel—not gasoline—is the bigger economic risk, as it powers nearly every part of the supply chain. Prices have surged past $5/gallon, sharply increasing costs for trucking, shipping, farming, and manufacturing. Businesses are already adding fuel surcharges or raising prices, with some losing customers as a result. Because diesel is embedded in almost all goods, higher costs ripple through the economy—pushing up inflation and squeezing margins. Even a 10% rise in diesel can lift overall consumer prices. With oil above $100 and supply risks elevated, sustained diesel spikes could drive broader inflation and slow economic activity.(*Walter Bloomberg)