A compression ignition (CI) (typically diesel) fuel formulation is provided containing (i) a C4 to C8 dialkyl ether (DAE), (ii) a naphtha fuel component and (iii) a low boiling component selected from low boiling hydrocarbons, ethers and mixtures thereof. The formulation may be produced along with a gasoline fuel formulation, by (1) preparing a gasoline fuel formulation in a manner which yields a naphtha fuel component as a byproduct, and (2) blending at least some of the naphtha byproduct with a C4 to C8 DAE and a low boiling component (iii) so as to produce the CI fuel formulation.