Heating Oil Moves Toward Record High

2026-09-09 02:07 By Kyrie Dichosa 1 min. read

US heating oil prices rose above $4.63 per gallon, moving back toward their record high as refineries grapple with increasingly constrained refined-product supplies.

The Middle East war continued to escalate as Iranian-backed Houthis launched strikes on Saudi energy facilities, including the Jazan oil refinery.

This comes on top of ongoing disruptions and reduced traffic through the Strait of Hormuz, while Ukrainian attacks on Russian refineries are further limiting global diesel supplies, adding to the impact of Moscow’s existing export restrictions.

Meanwhile, demand could increase as seasonal agricultural activity picks up, while the approaching winter heating season could add to pressure on distillate supplies.

US refineries were already operating at 98% of capacity in the week ended August 28, leaving limited room to further increase distillate production.

EIA data also showed that US distillate fuel stocks were 14% below the five-year average in late August.



News Stream
Heating Oil Moves Toward Record High
US heating oil prices rose above $4.63 per gallon, moving back toward their record high as refineries grapple with increasingly constrained refined-product supplies. The Middle East war continued to escalate as Iranian-backed Houthis launched strikes on Saudi energy facilities, including the Jazan oil refinery. This comes on top of ongoing disruptions and reduced traffic through the Strait of Hormuz, while Ukrainian attacks on Russian refineries are further limiting global diesel supplies, adding to the impact of Moscow’s existing export restrictions. Meanwhile, demand could increase as seasonal agricultural activity picks up, while the approaching winter heating season could add to pressure on distillate supplies. US refineries were already operating at 98% of capacity in the week ended August 28, leaving limited room to further increase distillate production. EIA data also showed that US distillate fuel stocks were 14% below the five-year average in late August.
2026-09-09
Heating Oil Hovers Near Record Highs
US heating oil prices rose above $4.60 per gallon, close to a record high and about 100% higher than a year earlier amid concerns over increasingly tight supplies. EIA data showed that distillate fuel stocks rose by 796 thousand barrels in the week ended August 28 but remained 14% below the five-year average for this time of year. This comes as demand is expected to rise as agricultural states enter their harvest and planting seasons, while the approaching winter heating season could put further pressure on distillate supplies. Reflecting the market's tightness, average US diesel prices have reached a record high. The market has remained constrained by escalating tensions in the Middle East, as the US and Iran continued to exchange fire, while ongoing disruptions to Russian refining capacity and an extended Russian diesel export ban further limited global distillate supplies.
2026-09-07
Heating Oil Surges to Record High
US heating oil prices traded near $4.60 per gallon, close to a record high and about 100% higher than a year earlier amid tightening distillate markets. Supply risks have intensified as escalating tensions between the US and Iran raise concerns over oil flows through the Strait of Hormuz, while Ukrainian attacks on Russian refineries have further constrained global refining capacity. US refinery utilization has now remained at or above 95% for 12 consecutive weeks, the longest streak since 2000, indicating that refiners are already operating near capacity with limited room to increase output. EIA data showed that distillate fuel stocks rose by 796 thousand barrels but remained 14% below the five-year average for this time of year. Broader refined-fuel markets are also signaling tight conditions, with US diesel futures reaching a 52-month high and the diesel crack spread climbing to a record level.
2026-09-02