MASSACHUSETTS - For the first time since October or 2008, the lowest price for home heating oil in Massachusetts hit $3.00 per gallon. Of the heating oil dealers surveyed, the statewide average price came in at $3.44, with a high of $4.00 and a low of $3.00 -- no dealers reported prices below the three dollar mark.
Seasonally cold temperatures and numerous snowstorms in the New England region, as well as the rest of the country can account for the normal mid-winter spike in prices -- but global demand and high stockpiles of crude are keeping most petroleum products in the "reasonable" range.
Financial analysts warn that crude oil investors can cause fluctuations in the petroleum markets that are not based on true supply and demand economics -- already February 2011 gasoline and #2 heating oil commodity prices are off slightly based on U.S. government reports of high crude, heating oil and gasoline reserves.
Home heating fuel oil and gasoline are expected to peak at the retail level in February and to fall back slightly in March and April.