Home Heating Oil, Gas & Propane News

The Predicted Heating Oil Prices For 2015

decreasing oil prices graphWe all know that every fall and winter that heating oil prices typically go up. It usually goes up because of the law of supply and demand. More people during these colder months need to heat their home, so the demand is high, and the supply dwindle. This price fluctuation can harm people who work paycheck to paycheck. For investors, it gives them an opportunity to make trades on the futures market with a little bit of extra certainty and with the fundamental that back up those trades. In this article, we will look at a few different sources to determine where the price of home heating oil is expected to be in 2015. We hope that this article gives you the information that you need.

According to the United States Energy Information Administration (EIA) they have a projection as of this date that the price of all energy resources will be: WTI crude oil prices will be around 49.62, that Brent crude oil prices will be around 54.40, that Gasoline will be around 2.41, that Diesel fuel will be around 2.73, that Heating Oil will be around 2.73, Natural gas around 10.28 and electricity around 12.74.

This is a short-term prediction and for our purpose we are mostly concerned with Heating Oil, which will be around 2.73. According to past data, this price for the last two years was at 2013 3.78 for 2013 and 3.72 for 2014. As you can see, at this point in time the short-term prediction is much lower than the last previous years. Our guess is that warmer climates across the globe has something to do with this decline in price. This is still an early prediction, and things are liable to change.

There are some analysts who predict prices for 2016 to be significantly higher, and some suggest that businesses and homeowners in cooler climates might consider pre-buying their home oil so that they can lock in a lower rate. If a lot of businesses and homeowners do this, we might see a bit of rallying in the price.

Here is a video discussing oil prices from last year:

As you can see, we have used multiple sources to check analyst expect the price of home heating oil to be this fall and winter. As we knew before even doing this research that price would be up because of the laws of supply and demand. We know that more people have heating needs during these cooler months than any other time of the year. Other factors that come into play are changes and trends in climate. For example, if climate data shows that we will experience a warmer fall and winter, heating oil speculators are likely to short heating oil, and the price will go down. Hopefully, this gives you the information you need on the predicted level at which home heating oil will be this fall. Some of you might consider pre-buying your heating oil and the speculators among us should stay on the watch for this trend because this might spark a bull market in the Heating Oil futures.