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25.03.202614:39:21UTC+00Heating Oil Sustains Sharp Losses

US heating oil futures fell toward $3.95 per gallon on Wednesday, pressured by renewed diplomatic efforts to ease the Middle East conflict and an unexpected build in US inventories. Distillate stocks — which include diesel and heating oil — rose by 3.03 million barrels in the week ended March 20th, defying analyst expectations for a 1.3 million-barrel draw and sharply reversing the previous week’s decline. The jump in distillates coincided with a 6.9 million-barrel increase in US crude inventories, exceeding forecasts and marking a fifth straight weekly build. At the geopolitical level, the US reportedly sent a 15-point peace proposal to Iran via Pakistan, but Tehran ruled out ceasefire talks even as it allowed limited transit through the Strait of Hormuz. Despite ongoing volatility tied to fuel hoarding in Asia, the recent pullback in benchmark crude prices has temporarily capped heating oil futures, which are still up roughly 50% for the month.

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