Heating Oil Hits Over 3-Month High

Heating oil futures in the US climbed toward $4.20 per gallon, reaching their highest level since early April, as intensifying strikes in the Middle East fueled fears of disruptions to global refined fuel supplies. Iran said the ceasefire with the US had effectively collapsed as both sides expanded attacks beyond military sites to critical infrastructure, signaling little prospect of a return to the fragile truce. Adding to supply concerns, Ukraine continued its attacks on Russian oil refineries after Russia imposed a diesel export ban earlier this month. Seasonal refinery maintenance and years of refinery closures across the US and Europe further constrained fuel supplies. The tighter supply backdrop pushed US refining margins to record highs. Despite a 4.6 million-barrel increase in distillate fuel inventories in the week ending July 10, EIA data showed stockpiles remained well below their five-year seasonal average.





