Heating oil futures eased to about $4.60 per gallon, remaining not far below the mid‑September record high of $5.20, amid volatile crude markets. Traders continued to weigh escalating tensions in the Middle East and stalled negotiations between the US and Iran aimed at ending the conflict, factors that are keeping risk premiums elevated.
At the same time, the war between Russia and Ukraine is disrupting traditional fuel trade flows, further tightening global energy supplies and adding upward pressure to prices.
In the US, President Trump said he was still “very seriously” considering a ban on diesel exports to tackle elevated domestic fuel costs, even as other administration officials explored different strategies. Energy Secretary Chris Wright noted that the government was working with refiners on voluntary export limits, while the White House was also weighing expanded sales of tax‑exempt, red‑dyed diesel.
On the data front, US distillate inventories were about 12% below the five‑year average, underscoring relatively tight heating oil supplies as the winter heating season approaches.