Heating Oil Drops on Iran Peace Prospects

2026-03-25 01:33 By Kyrie Dichosa 1 min. read

US heating oil futures dropped more than 6% to around $4 per gallon, reversing gains from the previous session, as hopes of a possible Middle East ceasefire eased concerns about further supply disruptions.

President Donald Trump said the US is engaged in talks with Iran and has delivered a 15-point proposal to end the conflict, reiterating this even as Tehran denied any direct negotiations and indicated it has no intention of restoring normal shipping conditions in the Strait of Hormuz.

However, uncertainty persists as the US increases its military presence in the region and explores measures to secure key oil transit routes.

Energy markets have remained highly volatile since the conflict began, with the strait, which handles about one-fifth of global oil flows, still largely shut.

Despite the pullback, US heating oil futures are still up more than 50% so far this month.



News Stream
Heating Oil Drops on Iran Peace Prospects
US heating oil futures dropped more than 6% to around $4 per gallon, reversing gains from the previous session, as hopes of a possible Middle East ceasefire eased concerns about further supply disruptions. President Donald Trump said the US is engaged in talks with Iran and has delivered a 15-point proposal to end the conflict, reiterating this even as Tehran denied any direct negotiations and indicated it has no intention of restoring normal shipping conditions in the Strait of Hormuz. However, uncertainty persists as the US increases its military presence in the region and explores measures to secure key oil transit routes. Energy markets have remained highly volatile since the conflict began, with the strait, which handles about one-fifth of global oil flows, still largely shut. Despite the pullback, US heating oil futures are still up more than 50% so far this month.
2026-03-25
Heating Oil Resumes Advance
US heating oil futures climbed more than 6% to around $4.30 per gallon, recovering from the previous session’s retreat as crude prices rose, following Tehran’s rejection of negotiations with Washington. Ali Nikzad, Iran’s deputy parliament speaker, said the Strait of Hormuz would remain closed to normal traffic, after Donald Trump postponed a threatened strike on Iran’s energy infrastructure for five days, citing ongoing discussions. Meanwhile, Israel continued its attacks, and reports indicate US Gulf allies are moving closer to joining the conflict, with Mohammed bin Salman reportedly nearing a decision. Energy markets have swung sharply since the outbreak of the conflict, as the Strait of Hormuz, through which roughly one-fifth of global oil flows, remains largely closed. US heating oil futures have now gained more than 70% so far this month.
2026-03-24
US Heating Oil Futures Down from Record High
US heating oil futures slipped more than 10% to around $4.07 per gallon from a record $4.608 in the previous session, tracking a broad pullback across energy markets after President Donald Trump ordered a five day pause on planned strikes against Iranian energy infrastructure following discussions on ending the conflict. Trump said the move came after productive talks, although Iranian sources denied any direct or indirect contact. Energy markets have been highly volatile since the war began, with the Strait of Hormuz, which normally carries about 20% of global oil, largely blocked. Efforts to ease supply pressures include a record 400 million barrel release from strategic reserves by IEA members. Despite the latest decline, US heating oil futures remain up more than 56% this month after surging to unprecedented highs above $4.6 on March 20.
2026-03-23