Gasoline is down by 5.08%

Gasoline decreased 5.08% to 3.5086 USD/Gal

Gasoline futures for delivery in the New York Harbor fell to $3.6 per gallon from the four-year high of $3.75 touched May 18th, as markets assessed the timeline of a potential return of oil exports from the Middle East. Petrol-derived commodities eased after US President Trump stated the ongoing conflict could end soon should Iran agree to concessions. Still, shortage risks in global energy markets continued to support prices with US futures remaining over 110% higher year-to-date. Energy exports from the key region have been at a standstill since the first week of March, driving global oil inventories to drop at a record pace, per the IEA. Likewise, gasoline stocks in the US sank for the 14th consecutive week in May, as refineries have been operating at full capacity with feedstock from the SPR. Refinery capacity was also lower for motor gasoline as refiners switched to distillates in an attempt to prevent diesel and jet fuel shortages.

Gasoline futures in the US slipped to around $3.60 per gallon, as markets continued to weigh President Donald Trump’s shifting stance on potential strikes on Iran. Still, prices remained near a more than four-year high as elevated uncertainty persisted, with earlier negotiations showing little progress and the Strait of Hormuz still effectively disrupted. The chokepoint, which handles roughly 20% of global oil flows, continues to restrict key crude and refined product shipments. Seasonal demand expectations are also providing support, as the approach of the US summer driving season typically lifts near-term fuel consumption. Meanwhile, US gasoline stockpiles fell for a 13th consecutive week in early May despite a slight increase in production, as refineries continued operating near full capacity and drew on crude feedstock from the SPR to sustain output.