FX.co ★ Heating Oil Hits 3-Week High

US heating oil prices climbed above $3.30 per gallon to a three-week high as mounting concerns over global distillate supplies overshadowed softness in crude oil. Market attention remained fixed on Russia, where continued Ukrainian drone attacks have disrupted refinery operations, intensifying speculation that Moscow may impose a diesel export ban to alleviate domestic shortages. With Russian refinery runs hovering near multi-year lows and global distillate stocks still constrained, traders anticipated that any curb on diesel exports would keep refining margins firm and lend further support to heating oil prices. These gains occurred even as benchmark crude prices stayed muted, pressured by higher OPEC+ production and the rebound in oil and gas flows through a US-secured corridor in the Strait of Hormuz, which has enabled major Persian Gulf producers to ramp up exports.