US gasoline prices climbed above $3.00 per gallon, reaching a three-week high, after the United States launched new strikes against Iran in response to a series of attacks on shipping in the Strait of Hormuz. At the same time, the US Treasury revoked a sanctions waiver that had allowed Tehran to sell oil, effectively rolling back a key element of the interim peace agreement with the Islamic Republic.
This escalation intensified fears of renewed disruptions in global energy markets and undermined earlier expectations of an impending supply glut, which had been based on higher OPEC+ production quotas and increasing output from Middle Eastern producers. Adding further support to gasoline prices, supply concerns were exacerbated by refinery outages in Russia: the country’s largest oil refinery in western Siberia, and a major gasoline producer, suspended operations after a Ukrainian drone strike—one of Kyiv’s longest-range attacks of the conflict.
