Heating Oil Extends Gains

Heating oil futures extended their advance toward $4 per gallon on Friday, as markets remained focused on assessing the durability of the fragile ceasefire ahead of this weekend’s US-Iran talks. Israeli strikes on Lebanon led Iran to shut the Strait of Hormuz once more, heightening diplomatic tensions. Prime Minister Benjamin Netanyahu said operations in Lebanon are not covered under the US-Iran truce, while Washington has arranged talks next week with Israel and Lebanon to push forward broader ceasefire negotiations. Adding to pressure on the truce, President Donald Trump warned Tehran against charging fees on vessels passing through the Strait and criticized Iran’s handling of energy flows as inadequate. Despite ongoing tensions, the ceasefire announcement earlier this week initially triggered a sharp selloff in energy markets, pushing heating oil to a weekly loss of more than 11%.