US gasoline futures traded above $3.50 a gallon, holding at their highest level since May 21st amid heightened uncertainty over the Strait of Hormuz. Iranian President Pezeshkian reiterated his opposition to restrictions on Iran’s civilian nuclear program and to the US military presence in the Middle East, keeping geopolitical risks elevated.
On the supply side, the approach of winter and rising heating demand are prompting refiners to shift output toward higher‑priced diesel, tightening gasoline availability. At the same time, EIA data showed that US gasoline inventories unexpectedly fell by 1.7 million barrels in the week ending September 18th.
Prices have also been supported by persistent Ukrainian attacks on Russian refining infrastructure, with Russia expected to extend its diesel export ban beyond September. Some concerns have eased, however, after reports that Saudi Arabia has begun testing the East‑West pipeline, reducing fears of prolonged disruptions. In addition, the Iranian president signaled he remains open to diplomatic talks with the US, slightly tempering the risk outlook.
