US gasoline futures rose above $3.30 per gallon, their highest level since July 2022, as the war in the Middle East continued to intensify. Prices are on course for a record monthly gain of more than 30%, driven by major disruptions to energy flows following the near-total closure of the Strait of Hormuz.
In the latest escalation, Iran-backed Houthi fighters in Yemen have entered the broader conflict, declaring that their operations will continue until attacks on Iran and its allied militant groups cease. Their involvement adds fresh risk to global crude markets, as ongoing disruptions in the Red Sea and potential threats to shipments from the Saudi port of Yanbu could further tighten supplies.
At the same time, the US has deployed additional forces to the region, heightening concerns over a possible ground invasion. The conflict has now entered its fifth week, with recent developments further undermining hopes for a near-term resolution.
