FX.co ★ US Gasoline Futures Rise to Over 6-Week High

U.S. gasoline futures have surged past $2 per gallon, reaching their highest level since September 26, as the onset of the winter heating season approaches and inventories continue to dwindle. In the week ending October 31, gasoline stocks decreased by 4.73 million barrels, following a significant 5.94 million-barrel drop the week before. This decline was much larger than the anticipated reduction of 1.1 million barrels, marking the fifth consecutive week of inventory depletion. Prices are also being buoyed by limited fuel exports, a consequence of U.S. sanctions on Russia, which have reduced Russia’s seaborne crude shipments to a two-month low. In a related development, OPEC+ has agreed to increase output by 137,000 barrels per day in December but plans to halt further boosts in production during the first quarter of next year.