Heating oil futures rose more than 2% on Monday to above $4.40 per gallon, extending the previous session’s gains, after President Trump intensified pressure on Tehran over the closure of the Strait of Hormuz. In a social media statement, he warned that Iran would face severe consequences if it did not reopen the vital shipping lane, including potential strikes on key infrastructure such as power plants and bridges.
His comments follow a national address last week in which he suggested the conflict could persist for another two to three weeks. At the same time, eight OPEC+ members agreed to increase production by 206,000 barrels per day in May. However, with the Strait still closed, it remains unclear how this additional supply will reach global markets.
OPEC+ also warned that repairing energy infrastructure damaged in Iranian attacks is both costly and time-consuming, a factor likely to continue constraining overall supply.
