Gasoline Rises to 3-Week High

US gasoline prices rose above $3.0 per gallon, reaching their highest level in three weeks, as resilient refining margins and tight fuel supplies continued to support refined products. Refinery constraints and robust gasoline demand kept crack spreads firm, while Ukrainian drones struck Russia's largest oil refinery in Omsk, in one of the war's longest-range attacks, heightening concerns over refined fuel supplies. The support for gasoline prices contrasted with weakness in crude, where higher OPEC+ output and improving global supplies continued to weigh on benchmark prices. Oil and gas shipments through the US-protected corridor in the Strait of Hormuz also continued to recover, allowing major Persian Gulf producers to ramp up exports. Saudi Arabia's shipments climbed close to pre-conflict levels as tanker traffic normalized, while the United Arab Emirates also restored export flows.

US gasoline prices traded around $2.90 per gallon, hovering just above their lowest level in more than three months amid concerns over a potential global oil supply glut. OPEC+ agreed to raise production quotas by 188,000 barrels per day next month, following similar increases in June and July. While much of the additional supply has yet to materialize, the move underscores the group's commitment to gradually restoring output as regional conditions continue to normalize. Energy shipments through the US-protected corridor in the Strait of Hormuz also continued to recover, allowing major Persian Gulf producers to ramp up exports. Saudi Arabia's shipments climbed close to pre-war levels as tanker traffic normalized, while the United Arab Emirates also restored its export flows. Gasoline prices have fallen nearly 10% over the past quarter after Washington and Tehran reached an interim peace agreement.

US gasoline prices held at $2.91 per gallon, trading just above their lowest level in more than three months after reversing much of their conflict-driven surge over the past quarter. Oil flows through the Strait of Hormuz continued to improve, with crude shipments topping 10 million barrels per day under US military protection, according to a US official. The UAE also restored exports to pre-war levels by relying on alternative routes, while Iran's crude shipments exceeded 40 million barrels after the US ended its naval blockade. Separately, President Donald Trump welcomed progress in negotiations following another round of indirect talks. On the data front, gasoline inventories fell by a larger-than-expected 2.333 million barrels in the week ended June 26. Elsewhere, US Treasury Secretary Scott Bessent urged oil and gas companies to cut fuel prices, a day after President Donald Trump called on retailers to lower gasoline prices.