Inventory Build, Stronger Dollar Push Down Oil Prices

The price of crude fell by 3.6 percent to close at $66.12 a barrel and the price of heating oil ended 3.3 percent lower.

HEAT USA Price Report
Evening projection (for Thursday’s average retail heating oil price per gallon): DOWN $0.05

The US Energy Information Administration reported that US crude stockpiles grew by 2.9 million barrels last week, contradicting analysts’ forecast of inventory numbers remaining flat.  The EIA also reported that US gasoline demand was 7.7 percent lower than a year ago, despite the summer driving season kicking off the preceding weekend.  A stronger dollar also contributed to falling oil prices.

HEAT USA price experts were relieved to see sizeable reductions in oil prices hold on through the end of the trading day and were pleased to report that tomorrow’s retail prices would be lower than initially predicted.