Monday 14th December 2020
Time is running out! As of today there are just 8 delivery days left for pre-Xmas deliveries. Cold weather is forecasted for next week and the Christmas rush is having an effect on prices and logistics.
Not surprisingly, Christmas deliveries do put pressures on distributors. To secure a pre Xmas order be prepared to pay express delivery or other charges.
All of a sudden, Brent hit $50 per barrel on Thursday last week for the first time since March. This has been the effected by the continuing optimism surrounding vaccinations, the OPEC+ deal, plus strong demand in Asia.
Other Market Factors
However, prices eased slightly on Friday 11tth as demand in Europe and the U.S. remains subdued and Covid-19 cases continue to spread. The EIA also reported a surge in crude inventories for last week, up 15.2 million barrels.
Many European countries went back into lockdown in November, but are loosening restrictions again. There are some exceptions to this with Germany ordering a full lockdown for the festive period until January 10th.
UK Market Trends
Festivities at this time of year puts a big strain on all heating oil distributors. At the same time heating oil customers leave it till the last minute to order their Christmas and winter fuel. Heating oil delivery slots are filling up fast and are available at a premium increase in PPL.
A combination of delay and wait tactics combined with higher crude prices has sent local heating oil prices in the UK higher.
Under these conditions circumstances distributor heating oil prices are nearly 10ppl dearer than October.
The good news is they are still 31% cheaper than for the same period last year. Bargains are now hard to find.
Although prices continue to be at an all time 4 Year low, we see further demand for heating oil increasing as the weather becomes colder. Buy heating oil now and fill up.
At this moment in time, we see distributor prices gradually rising during the next 10 days. Most distributors are quoting between 36ppl to 40ppl and brokers are much higher.
UK Regional Analysis
UK heating oil prices have increased by 4.11% this week. Over the last 7 days there has been an increase in the average UK oil distributor heating oil prices.
Time is running out for Xmas heating oil deliveries.
At the moment distributor heating oil prices are trending up.
England – average prices rose by 2.13ppl to 38.88ppl.
Wales – average prices rose by 0.73ppl to 38.47ppl.
Scotland – average prices rose by 1.11ppl to 38.65ppl.
Northern Ireland – average prices rose by 0.41ppl to 31.61ppl.
Heating oil delivery slots are filling up fast. At the present time we recommend you check in on our twitter feed and website. You can request multiple quotes from heatingoilshop.com on a regular basis to avoid any possible imminent price rises.
During the last 7 days, UK heating oil prices have risen by 4.11% this week. This amounts to an average rise of 1.45ppl after adjustment and vat.
Heating oil prices are now trending up again as Brent crude attempts to cross the $51 mark.
At this moment in time, we see domestic prices rising gradually in the next two weeks due to increased crude prices, delivery demands and a cold spell next week.
Time is running out for Xmas heating oil deliveries. As of today, the UK heating Oil price of 36.74ppl is 16.55ppl lower than this day a year ago. Not only that, 4 years ago the price was 43.60ppl, 6.86ppl dearer.