Gasoline Sinks from 4-Year High

2026-05-06 10:49 By Andre Joaquim 1 min. read

Gasoline future for delivery at the New York Harbor plummeted to $3.35 per gallon on Wednesday after reaching a four-year high of $3.75 two sessions prior, as the potential end to the war between the US and Iran improved the supply outlook from the Middle East.

Reports indicated that the US was close to agreeing on a memorandum to end the conflict with Iran.

An end to the war would likely start the process of restoring tanker flows through the Strait of Hormuz, enabling GCC from exporting their full storages of fuel.

Shipping activity through Hormuz has been halted since the start of March, disrupting 20 million bpd of oil and refined products for major importers.

On top of that, jet fuel and diesel shortages in Europe and Asia drove major energy producers to prioritize their refining capacity for distillates instead of motor gasoline, exacerbating supply risks.

Consequently, US gasoline stocks sank for the 11th straight week, depleting inventory ahead of the high-demand summer season.



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Gasoline Sinks from 4-Year High
Gasoline future for delivery at the New York Harbor plummeted to $3.35 per gallon on Wednesday after reaching a four-year high of $3.75 two sessions prior, as the potential end to the war between the US and Iran improved the supply outlook from the Middle East. Reports indicated that the US was close to agreeing on a memorandum to end the conflict with Iran. An end to the war would likely start the process of restoring tanker flows through the Strait of Hormuz, enabling GCC from exporting their full storages of fuel. Shipping activity through Hormuz has been halted since the start of March, disrupting 20 million bpd of oil and refined products for major importers. On top of that, jet fuel and diesel shortages in Europe and Asia drove major energy producers to prioritize their refining capacity for distillates instead of motor gasoline, exacerbating supply risks. Consequently, US gasoline stocks sank for the 11th straight week, depleting inventory ahead of the high-demand summer season.
2026-05-06
Gasoline Futures Extend Drop
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2026-05-06
Gasoline Futures Fall from 4-Year High
US gasoline futures eased to $3.63 per gallon from a near four-year high of $3.74 reached on May 4, after Washington downplayed the risk of a renewed full-scale conflict with Iran following recent clashes in the Strait of Hormuz and missile strikes on the United Arab Emirates. US officials said the incidents did not violate the ceasefire that has been in place for nearly a month, helping calm market concerns despite ongoing tensions. The standoff between the US and Iran continues, with little progress toward new talks as Tehran demands an end to the naval blockade while Washington maintains pressure on Iran’s oil exports. Meanwhile, data from the Energy Information Administration showed gasoline demand edged higher to 9.10 million barrels per day, while inventories fell and production declined slightly.
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