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25.02.202615:54:06UTC+00Heating Oil Tumbles After EIA

US heating oil futures fell below $2.60 per gallon on Wednesday, extending their pullback from the three‑month highs reached on February 24th, as hefty inventory builds overshadowed geopolitical risk premiums. The latest EIA data showed a massive 15.99 million-barrel increase in US crude oil inventories for the week ending February 20th, the largest weekly build in three years. At the same time, distillate stocks swung from a steep drawdown to a 252,000-barrel increase.

These inventory gains, coupled with forecasts for above-average temperatures across the Western US, point to subdued heating demand as the winter season draws to a close. Although tensions remain elevated following President Trump’s accusations over Iran’s nuclear program, the sheer scale of domestic stockpiles has created a substantial buffer against potential supply disruptions in the Strait of Hormuz.

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