Buy oil, use natural gas while prices are down

It’s still summer, but those who use natural gas or heating oil might want to consider stocking up and locking in prices now. The price of natural gas and heating oil plummeted in 2008 because of the recession, and Department of Energy expects prices to remain low until fall when cold weather kicks in and demand heats up through early 2010. As 2009 winds down, heating oil will cost $2.36 per gallon, and the price is expected to increase to $2.62 by 2010, according to DOE. Natural gas is expected to cost just below $4 per 1,000 cubic feet (Mcf) until demand picks up in the fall, at which time the price will increase through early 2010 to an average of $5.80 per Mcf.