Yes, progesterone (even our own) is known to raise glucose and reduce insulin sensitivity.
Think about the physiology of pregnancy. At the extreme end this is why some people get gestational diabetes when they weren't diabetic before, and it gets better after delivery.
If this is making your diabetic control more difficult, you may be better with a lower dose of progesterone continuously, than seesawing from zero to high progesterone and back again repeatedly.