January 3rd, 2013

Heating oil slipped on a forecast for warmer weather for the U.S. Northeast, curbing household demand for the fuel.

Heating oil futures declined as much as 1.3 percent as the National Weather Service’s Climate Prediction Center estimated temperatures will be higher than normal for the Northeast from Jan. 8 through Jan. 16.

“The weather is going to be warmer than expected,” said Phil Flynn, senior market analyst at Price Futures Group in Chicago.

Heating oil futures for February delivery fell 2.35 cents, or 0.8 percent, to $3.0228 a gallon at 10:06 a.m. on the New York Mercantile Exchange. Volume was 19 percent below the average of the past 100 days.

Gasoline futures for February delivery gained 0.3 cent to $2.7981 a gallon. Volume was 29 percent below average.

The average nationwide retail price for regular gasoline rose 0.1 cent to $3.292 a gallon, AAA said today on its website.

- Barbara Powell in Dallas at Bloomberg.