Gasoline Turns Lower

US gasoline futures fell to around $3.25 per gallon, weighed down by prospects for increased Russian fuel supplies. President Donald Trump said Russia had agreed to supply diesel to global markets to help lower fuel prices, while his administration temporarily eased US sanctions on Russian fuel. Markets continued to assess the prospects for an energy ceasefire between Russia and Ukraine following Trump’s announcement of an immediate truce, even as Russia continued striking Ukrainian energy infrastructure. Meanwhile, continued tanker attacks near the Strait of Hormuz threatened regional supply flows, raising concerns that further disruptions could reverse the recovery in shipments. Fuel prices have eased in recent weeks but remained elevated, with 12.1% of global refining capacity offline as of September. Separately, Gulf of Mexico producers worked to restore offshore output following Hurricane Isaias.

US gasoline futures rose to around $3.25 a gallon as traders weighed prospects for a Russia–Ukraine energy ceasefire. Although President Trump claimed both sides agreed to one on Sunday, Ukraine reported continued Russian air strikes on its energy infrastructure and vowed to keep targeting Moscow’s energy facilities unless it agreed to halt the attacks. Tanker attacks in the Strait of Hormuz also continued to threaten supply, although flows have recovered to near 98% of pre-war levels. Fuel prices have eased in recent weeks but remain elevated, with 12.1% of global refining capacity offline as of September. Trump also said he was working with Russia to release diesel supplies to global markets, alongside a temporary easing of US sanctions on Russian fuel. Meanwhile, IEA chief Fatih Birol urged governments to accelerate planned diesel releases and consider boosting supplies. Elsewhere, Gulf of Mexico producers worked to restore offshore output following Hurricane Isaias.

US gasoline prices fell below $3.20 per gallon as traders assessed the prospect of easing supply pressures following President Donald Trump’s claim of an immediate energy ceasefire between Russia and Ukraine. Ukrainian President Volodymyr Zelenskiy said he was awaiting details of the deal, while Russia had yet to comment. Trump’s announcement followed his statement last week that Russia had agreed to supply diesel to global markets to help lower fuel prices, alongside his administration’s temporary easing of US sanctions on Russian fuel. Meanwhile, IEA Executive Director Fatih Birol urged governments to accelerate planned diesel releases and consider boosting supplies. However, renewed strikes on Saudi Arabia’s infrastructure and tanker attacks near the Strait of Hormuz continued to threaten regional energy flows. Elsewhere, Gulf of Mexico oil producers were working to restore offshore output after Hurricane Isaias made landfall.