20.08.202515:14:30UTC+00Heating Oil Rebounds from 2-Month Low

Heating oil futures have climbed above $2.26 per gallon, recovering from a recent two-month low of $2.22 on August 15th. This uptick is attributed to a mix of tightening supply and stressed demand channels. In mid-August, U.S. commercial crude stocks experienced a significant draw of approximately 6 million barrels, diminishing the feedstock available to refineries for producing middle distillates like heating oil. This supply constraint is further intensified by high refinery throughput and a weather-related disruption at BP's Whiting refinery. The latter has constrained regional availability of heating oil, making existing inventories more vulnerable to price fluctuations. Both the Energy Information Administration (EIA) and market analysts highlight structurally low distillate inventories and robust export demand. While the current rally reflects immediate pressures from U.S. stock draws, refinery bottlenecks, and inventory shortages, the anticipated easing of production cuts by OPEC+ in September is likely to moderate the intensity of the rebound.