Gasoline Prices Decline

US gasoline futures fell below $3.30 per gallon, tracking a decline in benchmark crude prices, as markets await Washington’s announcement of new sanctions on Iran. Treasury Secretary Scott Bessent is set to outline the measures at a press conference, warning that the US could impose what he described as the “toughest sanctions in history.” President Donald Trump has also threatened penalties on countries that continue trading with Tehran. The US efforts to isolate Iran could increase the risk of retaliation and deeper disruptions to global energy markets. Meanwhile, tighter Canadian crude supplies could put upward pressure on refined product prices by constraining refinery feedstock, particularly in the US Midwest, where refiners rely on Canada for around 70% of their crude. Fuel supply concerns have also intensified after Ukrainian strikes on Russian refineries disrupted production and led to shortages in several regions.

Gasoline increased to 3.36 USD/Gal, the highest since July 2026. Over the past 4 weeks, Gasoline lost 1.68%, and in the last 12 months, it increased 55.6%.

US gasoline futures rose to around $3.33 per gallon, after holding near $3.25 on Thursday, as traders awaited details of a US campaign to isolate Iran’s economy. President Donald Trump announced plans for an economic package to intensify pressure on Iran, potentially involving China, the largest buyer of Iranian crude. Fuel supply concerns were also heightened as Ukrainian strikes on Russian refineries strained fuel availability, prompting shortages in several regions. Meanwhile, a Canadian supply squeeze has left US Midwest refineries vulnerable, as they rely on Canadian crude for around 70% of their supply. US crude imports from Canada fell the most since May last week, according to the EIA. US gasoline refining margins have surged 86% since the start of the conflict, while average regular gasoline prices remained above $4 per gallon in most US regions. Still, the EPA is set to end summer gasoline blend requirements early to help ease pump prices, which averaged $4.10 on August 20th.