FX.co ★ Gasoline Remains Near 7-Week High

US gasoline prices held above $3.20 per gallon, hovering near their highest level since late May, as mounting fears of global supply disruptions continued to lend support. US forces launched fresh strikes on Iranian targets and reimposed a naval blockade on Iranian shipping in the Strait of Hormuz. President Donald Trump threatened further military action if Tehran refused to return to negotiations, even as he backed away from a proposed 20% fee on shipments transiting the strategic waterway. These developments intensified concerns about supply already strained by ongoing disruptions to Russian refining capacity. According to data from Energy Aspects, Russian gasoline output has dropped to roughly 65% of typical seasonal consumption after Ukrainian drone attacks impaired operations at major refineries, including NORSI and Omsk. At the same time, industry data showed US gasoline inventories fell by 1.664 million barrels in the week ending July 10.