Heating oil futures hovered around $3.30 per gallon on Wednesday, stabilizing after a sharp decline in the previous session. The move came as the International Energy Agency (IEA) proposed the largest strategic oil reserve release in its history to help rein in rising prices. The plan, which could surpass the 182 million barrels released in 2022 after Russia’s invasion of Ukraine, was scheduled for a Wednesday vote and requires unanimous approval from member states.
At the same time, markets grappled with conflicting signals from the Trump administration regarding developments in the Strait of Hormuz. Energy Secretary Chris Wright briefly claimed on social media that the US Navy had escorted a tanker, but later deleted the post after the White House denied that any such operation had taken place. Adding to the uncertainty, the Pentagon stated that the United States and Israel had launched their fiercest strikes on Iran and would continue until Tehran is defeated, a message that stood in contrast to President Trump’s earlier suggestion that the conflict could soon be resolved.
