November heating oil prices established a higher high during the initial morning hours but reversed course following weakness in Brent crude oil. Some traders were also concerned with heating oil's relatively small advance in the face of a larger than expected draw in EIA distillate stocks last week of 2.218 million barrels. Perhaps that is because the market is looking at ample gulf coast supply and moderating weather conditions across the US. EIA distillate stocks are 31.075 million barrels below last year and 31.027 million below the five year average. Distillate imports came in at 85,000 barrels per day compared to 114,000 barrels the previous week. Average total distillate demand for the past four weeks was down 4.16% compared to last year. EIA heating oil stocks rose 844,000 barrels and are 11.666 million barrels below last year and 19.247 million below the five year average.


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