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Heating Oil Dealers Say Oil Prices Too Volatile
Author: Savannah Bright/ Date: January - 23 - 2012
More heating oil dealers in Pennsylvania are refusing to offer pre-paid oil contracts because of volatility in oil markets and unpredictability of prices.
Heating oil prices are now between 60 cents and $1 a gallon more than they were this time last year, readingeagle.com reports.
Historically oil prices are low at this time of year before beginning their seasonal climb during winter. That has enabled customers to lock in cheaper oil deals early in the season to guard against spiking winter prices.
But some dealers and a US Energy Department economist say current prices are artificially high and could even drop in the near term if demand falters and investors decide to pull their money from oil markets.