Heating oil climbs in early trading

6 November 2009

Heating oil prices were on course for a strong weekly gain this morning (November 6th), with the New York Mercantile Exchange futures contract trading above $2.07 (€1.39) a gallon during the Asian trading session.

The commodity settled at $1.98 a gallon at the end of last week after plummeting more than seven cents over the course of the day.

Crude oil prices also moved higher this morning, with the December-delivery contract once more breaching the $80-a-barrel mark.

Speaking to Bloomberg, Ken Hasegawa, a commodity derivatives sales manager at brokers Newedge in Tokyo, said the market has been encouraged by gains in the US stock market yesterday.

He added that in terms of assessing the economy and demand, "everyone understands commodities shouldn't be different from stocks".

Toby Hassall, research analyst at CWA Global Markets Pty in Sydney, added that trend analysis showed the US economy is "certainly in a recovery phase".

Click here for a home heating oil quote.