By Paul Burkhardt Sept. 21 (Bloomberg) -- Gasoline and heating oil futures slipped, following crude lower, as the dollar rose the most in almost three weeks, diminishing the appeal of commodities as an investment. The dollar was up 0.6 percent to $1.462 per euro at 9:17 a.m. in New York, from $1.4712 on Sept. 19. That’s the largest gain since Sept. 1. Crude oil for October delivery fell $2.57, or 3.6 percent, to $69.47 a barrel. “We’re seeing a big break in oil, so that could open the floodgates,” said Phil Flynn, vice president of research at PFGBest in Chicago. “Gasoline futures will follow crude oil lower,” if the dollar continues to strengthen, he said. Gasoline for October delivery declined 7.28 cents, or 4 percent, to $1.7596 a gallon at 9:20 a.m. on the New York Mercantile Exchange. Wholesale gasoline demand dropped 3 percent to the lowest level in five weeks for the week ending Sept. 11, the Energy Department reported last week. Gasoline inventories in the week gained 547,000 barrels, or 0.3 percent, to 207.7 million. Crude oil futures closing under $68 a barrel would signal a further fall, Flynn said. “Refiners would love to see that,” as it would improve refining margins, he said. “Demand is really not very good.” October-delivery heating oil tumbled 6.22 cents, or 3.4 percent, to $1.7657 a gallon. Regular gasoline at the pump, averaged nationwide, was unchanged at $2.551 a gallon, AAA, the nation’s biggest motoring organization, said today on its Web site.

Source