Winter heating oil demand in dispute

Crude oil prices were higher on Tuesday as the US dollar declined and there were mixed messages about how much demand there will be for heating oil in the US this winter.

While the US Energy Information Administration said that the demand for heating oil will increase, as will prices, due coming cold winter weather, the National Weather Service has issued forecasts of warmer-than-normal weather for the upcoming winter.

Specifically, the NWS says that the Northeast, which accounts for 80 percent of the heating oil consumed in the US, will experience warmer than average temperatures this winter.

November heating oil on the New York Mercantile Exchange gained 3 cents to $2.19 per gallon.

West Texas Intermediate crude for November delivery was $1.24 higher to $80.26 per barrel on Nymex, while November contracts for Brent crude added 91 cents to $77.49 per barrel on the Intercontinental Exchange in London.

Nymex November gasoline was up 2 cents to $2.02 per gallon, while November natural gas gained 2 cents to $6.86 per million British thermal units.