US gasoline futures hovered near $3.27 per gallon, extending the prior session’s decline as traders assessed the impact of heightened US economic pressure on Iran. The Trump administration unveiled plans to impose secondary sanctions on entities supporting Iran’s economy under a new initiative, “Operation Economic Outcast.” Treasury Secretary Scott Bessent said the US is targeting Iran’s global financial links and pressing other countries to sever economic ties with Tehran.
However, markets remain uncertain whether the measures will weaken Iran’s grip on a key maritime chokepoint or instead prolong supply disruptions. On the demand side, China’s top refiner, Sinopec, reported an 8% drop in gasoline consumption in the first half of 2026, as elevated prices and accelerating electric-vehicle adoption curbed demand. Meanwhile, US refineries have been operating above 95% of capacity for more than 11 weeks, marking the longest sustained run at such high utilization in over 25 years.
