Heating Oil Futures Retreat

US heating oil futures slipped to around $3.90 per gallon on Monday, retreating from a three-week high, as markets assessed US-led maritime security measures in the Strait of Hormuz. President Donald Trump announced that the US would guide neutral vessels safely through the passageway, aiming to help ships stranded by the conflict with Iran transit securely. However, a UK maritime agency said a tanker was hit by projectiles near Fujairah, highlighting ongoing risks to regional shipping. Flows through the key waterway have been largely halted since early March, disrupting about 20 million barrels per day of crude oil and refined product movements. Meanwhile, seasonal forecasts point to above-normal temperatures, which could curb heating demand as the US enters warmer months. Separately, OPEC+ agreed to raise output by 188,000 barrels per day in June.

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