Stock Markets, Weak Dollar Keep Oil Prices Riding High

The oil prices held onto their early gains to close much higher today, supported by rising stock indices and a US dollar whose value continues to weaken against the euro.  Another factor in today’s rising oil prices could also be the soon-to-be-announced results of the US government’s “stress tests” of the nation’s largest banks.  As the results of the test are made public, negative results could drive down stock markets sharply next week.  With this in mind, many investors may have chosen to put their money in oil today to avoid any major losses that the stress test results might inflict on stocks.

The price of crude rose by 3.9 percent to close at $51.55 a barrel and the price of heating oil gained 3.7 percent over yesterday’s close.

HEAT USA price experts reported that today’s rising market prices would lead to moderate-to-large increases in retail heating oil prices on Monday.

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