US gasoline futures slipped to around $3.00 per gallon, extending their pullback from the one-month high of $3.10 reached on July 8, as ongoing technical talks between the United States and Iran—despite renewed hostilities—led markets to reassess the supply outlook. Both sides have so far avoided full-scale war, and Washington has reiterated its commitment to a negotiated solution, while certain provisions of the existing interim agreement remain in force.
Although security conditions in the Strait of Hormuz have worsened and tanker traffic has slowed, investors generally expect the shipping corridor to stay open. Selected laden tankers from the UAE have continued to load and depart, easing fears that exports from the wider region might come to a complete halt.
At the same time, the prospect of an oversupplied crude market, driven by higher OPEC+ output, has added further downward pressure on prices. However, lingering doubts persist over whether global refining capacity is sufficient to process the anticipated increase in crude supply.
