US Heating Oil Falls to Over 3-Week Low

2026-08-04 12:16 By Agna Gabriel 1 min. read

Heating oil in the US fell below $3.70 per gallon, the lowest level in more than three weeks, as easing geopolitical tensions in the Middle East reduced concerns over potential supply disruptions.

US Treasury Secretary Scott Bessent said a deal to reopen the Strait of Hormuz could be reached as soon as today or tomorrow, while Qatar announced that a draft proposal to revive US-Iran negotiations was being circulated, although officials stressed that no agreement had yet been reached.

The diplomatic efforts follow President Donald Trump's decision to postpone planned military strikes against Iran to allow more time for negotiations.

Earlier gains in heating oil had been driven by constrained diesel supplies resulting from tensions in the Middle East and disruptions to Russian exports.

Despite the recent decline, refining margins remain elevated, with strong international demand continuing to support US distillate production and exports.



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Heating Oil is down by 5.02%
Heating Oil decreased 5.02% to 3.6825 USD/Gal
2026-08-04
US Heating Oil Falls to Over 3-Week Low
Heating oil in the US fell below $3.70 per gallon, the lowest level in more than three weeks, as easing geopolitical tensions in the Middle East reduced concerns over potential supply disruptions. US Treasury Secretary Scott Bessent said a deal to reopen the Strait of Hormuz could be reached as soon as today or tomorrow, while Qatar announced that a draft proposal to revive US-Iran negotiations was being circulated, although officials stressed that no agreement had yet been reached. The diplomatic efforts follow President Donald Trump's decision to postpone planned military strikes against Iran to allow more time for negotiations. Earlier gains in heating oil had been driven by constrained diesel supplies resulting from tensions in the Middle East and disruptions to Russian exports. Despite the recent decline, refining margins remain elevated, with strong international demand continuing to support US distillate production and exports.
2026-08-04
Heating Oil Holds Losses
US heating oil futures traded below $3.9 per gallon in early August, holding recent losses as markets assessed developments surrounding the Strait of Hormuz. President Donald Trump said his latest offer of talks was Tehran's "last chance" and expressed confidence that the key waterway would fully reopen. Although Iran denied holding direct talks with the US, it said discussions with Oman to increase shipping through the strait were making progress. Meanwhile, Gulf producers continued to pursue alternative export routes, with Turkey and Iraq extending a pipeline agreement, while Kazakhstan restarted its crude shipments through the Caspian Pipeline Consortium following a temporary disruption. Separately, Russian diesel supplies remained constrained by ongoing Ukrainian attacks on major oil refineries, prompting Moscow to extend its diesel and gasoline export ban through January 2027.
2026-08-04