Gasoline TUmbles Nearly 5%
2026-03-09 21:03
By
Felipe Alarcon
1 min. read
Gasoline futures plummeted nearly 5% to below $2.64 per gallon on Monday afternoon as a sharp reversal in crude oil prices and aggressive intervention signals from the G7 capped the geopolitical risk premium.
Prices initially surged to levels not seen since 2022 as the war with Iran paralyzed shipping in the Strait of Hormuz and forced output cuts across the Gulf.
However, the momentum broke after President Donald Trump characterized the military campaign as nearing completion and noted that maritime traffic was resuming through key lanes.
This bearish pivot was reinforced by G7 finance ministers announcing their readiness to deploy strategic petroleum reserves to stabilize global fuel markets and counteract inflationary pressures.
While domestic inventories had shown a third consecutive weekly drawdown of 1.7 million barrels earlier in March the sudden collapse in the global energy complex and the easing of supply disruption fears triggered a rapid sell-off in gasoline benchmarks.