September heating oil traded higher during the initial morning hours and rallied to its highest level since August 4th. Some of the early support came from a rally in Brent crude oil back above $110.00, as well as talk of a tightening Midwest diesel market. Additionally, private inventory reports Tuesday afternoon showed a draw in weekly distillate inventories that was larger than expected. Estimates for this morning's EIA report favor a weekly inventory build of around 500,000 barrels.
Join the Discussion