Crude and Heating Oil Make Surprise Leap, Post Big Gains

Evidence that OPEC nations are cutting oil output as planned, economic optimism fueled by Obama’s stimulus package, and a resurgent stock market all contributed to a huge increase it the price of crude today, which gained 6.4% to settle at $46.47 a barrel.  Forecasts of another cold front set to hit the Midwest and Northeast on Sunday also supported the price of crude and sparked a 6% increase in the price of heating oil.  After a morning when consistently negative economic news appeared to be driving down the price of oil yet again, the news of effective OPEC cuts turned the trend around and made for unexpected price increases.

HEAT USA price experts were surprised and disappointed by the large price increases, and predicted matching increases in retail heating oil prices on Monday.

HEAT USA Price Report
Evening projection (for Monday’s average retail heating oil price): UP $0.10