22.10.202600:53:26UTC+00Heating Oil Prices Rise

US heating oil prices climbed back above $4.80 per gallon, retracing more than 3% of the previous session’s losses, as worries over tight distillate supplies persisted despite plans to tap emergency reserves. The US Department of Energy said it will loan 315,000 barrels from the 1-million-barrel Northeast Home Heating Oil Reserve, with bids due on October 27 and deliveries to be completed by November 13. The temporary release is intended to help curb heating costs ahead of winter, but its effect may be modest because borrowers must return the fuel with an additional premium.

Analysts also cautioned that President Donald Trump’s agreement with Russia to supply diesel to US and global markets is unlikely to substantially relieve price pressures, as the pledged volumes are too small to meaningfully ease the global supply crunch. Meanwhile, EIA data showed that US distillate inventories increased by 1.7 million barrels in the week ended October 16, yet stockpiles remained about 9% below their five-year average.