FX.co ★ Gasoline Rises Toward 7-Week High

US gasoline prices climbed to about $3.37 per gallon, approaching a seven-week high, as supply disruptions intensified. Saudi Arabia’s shutdown of its East–West oil pipeline has exacerbated ongoing attacks on energy infrastructure and disruptions to shipping through the Strait of Hormuz, heightening concerns over crude availability and refinery feedstock supplies. Additional disruptions along Yemen’s Red Sea coast are constraining traffic through the Bab el-Mandeb Strait, while attacks on Russian refineries are further amplifying global risks to refined-product supply.

According to EIA data, US gasoline inventories increased by 1.3 million barrels in the week ended September 4 but remained 5% below the five-year average. Fuel production also fell, even with US refineries running near full capacity, limiting their ability to raise output further despite strong refining margins that continue to incentivize maximum production. National average regular gasoline prices stood at $4.30 per gallon on September 11, according to AAA.