US Heating Oil Futures Rise to 3-Week High

2025-10-23 08:28 By Agna Gabriel 1 min. read

US heating oil futures held above $2.38 per gallon, near their highest in three weeks, supported by stronger demand and a rebound in crude prices.

The rally followed new US sanctions on Russia’s top oil producers, Rosneft PJSC and Lukoil PJSC, as President Donald Trump intensified pressure on Vladimir Putin to end the war in Ukraine.

The sanctions, citing Moscow’s lack of progress toward peace, tightened global supply expectations.

Meanwhile, weather forecasts have shifted from mild to seasonally normal for late October and early November, signaling rising heating demand.

The EIA’s latest outlook showed US distillate inventories will stay below average through 2026, pressured by strong exports, refinery closures, and significant stock draws earlier this year.

Inventories fell by 17%, or about 22 million barrels, in the first half of 2025.

Demand for distillate fuel oil rose 5% as renewable diesel and biodiesel output slumped 35% year-on-year.



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