07.08.202601:00:46UTC+00Heating Oil Rebounds

US heating oil futures climbed above $3.90 per gallon on Friday, rebounding from a more than three-week low, as renewed tensions in the Strait of Hormuz undermined efforts to fully reopen the critical shipping corridor. Iranian state media reported that parliament is considering a proposal to bar vessels linked to the US, Israel, and other governments deemed hostile by Tehran from transiting the strait under the Oman-brokered shipping agreement until Iran receives compensation for war-related damages. Heightening supply risks further, Ukraine launched long-range drone strikes on two Russian oil refineries, including one of the country’s largest. Russia’s gasoline and diesel exports tumbled 60% in July, leading Moscow to extend its gasoline export ban through January 2027. Meanwhile, EIA data showed that distillate fuel inventories—which include diesel and heating oil—declined by 3.473 million barrels in the week ended July 31.