US heating oil prices extended their decline, slipping below $4.60 per gallon, as traders assessed the likelihood of increased fuel supplies following President Donald Trump’s claim of an immediate “energy ceasefire” between Russia and Ukraine. Ukrainian President Volodymyr Zelenskiy said he was awaiting further details, while Moscow had not yet issued a response. Trump’s remarks came on the heels of his statement last week that Russia had agreed to step up diesel exports to global markets to help bring down fuel prices, in tandem with his administration’s temporary easing of US sanctions on Russian fuel.
At the same time, International Energy Agency Executive Director Fatih Birol called on governments to speed up planned diesel releases and to consider additional supply measures. However, the market remained unsettled by renewed attacks on civilian infrastructure in Saudi Arabia and incidents involving tankers near the Strait of Hormuz, which continued to cast a shadow over regional energy flows. In parallel, oil producers in the Gulf of Mexico were working to restore offshore production after Hurricane Isaias made landfall.
