Gasoline Hits 7-week Low

US gasoline prices steadied around $3.02 per gallon after declining in the previous session, as the US launched fresh strikes on Iran. US Central Command said the "self-defense strikes" were conducted at President Donald Trump's direction in response to the downing of a US helicopter that was patrolling over the Strait of Hormuz. The latest strikes threaten an already fragile ceasefire in the region and cast doubt on efforts to reach a more durable peace agreement that could reopen the strait. The key waterway remained largely closed under a dual blockade from both sides, severely constraining exports of distillate products from the region. On the supply side, US gasoline inventories increased by more than 3 million barrels in the final week of May, ending a 15-week run of consecutive declines. However, sizable withdrawals of roughly 8 million barrels each from private crude stocks and the SPR offset improvements in supply conditions.

Gasoline decreased to 2.99 USD/Gal, the lowest since April 2026. Over the past 4 weeks, Gasoline lost 16.62%, and in the last 12 months, it increased 44.06%.

US gasoline futures fell toward $3.0 per gallon, after giving up most of its gains in the previous session, as Israel and Iran agreed to halt mutual attacks following a recent surge in violence. Israeli Prime Minister Benjamin Netanyahu said Israel is currently suspending strikes on Iran but would retaliate if Tehran resumes hostilities, while Iranian media expressed a similar stance. The development kept hopes alive for a potential resumption of talks toward a broader ceasefire agreement in the Middle East. The Strait of Hormuz remained effectively constrained under a dual blockade involving Tehran and Washington, sharply limiting exports of distillate products from the region. Meanwhile, US gasoline inventories rose by more than 3 million barrels in the final week of May, ending a 15-week streak of declines. However, draws of around 8 million barrels each from private crude stocks and the SPR tempered the overall improvement in supply conditions.