Oil Prices Drop on Low Refining Rates

As of 9:09 am EST, the price of crude had fallen by .64 percent to reach $75.89 a barrel and the price of heating oil had dropped by .58 percent.

HEAT USA Price Report

Today’s average retail heating oil price per gallon: Down $0.03
Morning projection (for Monday’s average price per gallon): Down $0.02

Oil continued its slide from yesterday, as low refinery utilization rates signaled weak demand for oil. Refineries in the US were operating at their lowest capacity since 1989, with the exception of hurricane-related shutdowns. The data on refining came out on Thursday but continues to weigh on heating oil prices, overcoming the effect of a drawdown in heating oil inventories. Slumping equities markets lent additional downward pressure on oil prices.

HEAT USA price experts report that there is little to indicate that US oil consumption will change soon, and China has taken steps to slow down growth and avoid inflation, so oil prices could continue their decline next week.