To the oil-producing nations, it must have seemed like forever that Crude Oil prices slid down, down, and down some more after the remarkable Highs of last Summer. Whichever way Crude Oil prices may go from here, we know this much: their likely course will be foretold by the Candlestick patterns in the price charts.
Heating oil prices are determined from the cost of crude oil, the cost of production, the cost of marketing, the cost of manufacturing and even the cost of profits of refiners, dealers and wholesales. There are many reasons why the prices fluctuate. - Crude oil price change - A big portion of the price of heating oil depends on the cost of crude oil. With this fact, it is expected that the price of the crude oil varies directly on such factor.
Regional costs are operating costs covering the transportation of products from one location to another. Oil Prices
As oil supplies become increasingly scarce and demand rises, oil prices are steadily increasing. Alongside supply issues, increased demand also plays a role in driving up oil prices. Demand for oil varies, just like demand for any other commodity. Seasonal increases in oil consumption occur each winter. While industries in the US are becoming less reliant on oil and more energy-efficient, increased consumer use of oil offsets these advances.
Historically, oil prices were affected largely by major political events and wars. Often volatile market forces are increasingly driving oil prices, and the earlier checks that could be instituted through governmental price controls or production and refining quantity caps are less powerful.