Heating oil is a commodity and as with all commodities several factors affect their price. Supply, the weather, tension in the Middle East. It seems as though when someone hiccups, the price of oil is affected.

Exchange rates change due to a multitude of economic and political conditions, most importantly inflation, interest rates, and political stability. Governments will participate in the Forex market to influence the value of their currencies, either by selling large amounts of their domestic currency in order to lower the rate, or buy to raise the price.

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Answer: Heating oil prices paid by consumers can vary over time and by where a consumer lives. Prices can change for a variety of reasons. These include: Seasonality in the demand for heating oil - When crude oil prices are stable, home heating oil prices tend to gradually rise in the winter months when demand is highest. However, at times, prices can surge quickly to very high levels, as occurred in January/February 2000 (see box on "What Causes a Surge in Heating Oil Prices").