US gasoline futures fall below $3.30 as sanctions loom

US gasoline futures fell below $3.30 per gallon, tracking a decline in benchmark crude prices, as markets await Washington’s announcement of new sanctions on Iran.

Treasury Secretary Scott Bessent is set to outline the measures at a press conference, warning that Washington could impose what he described as the “toughest sanctions in history.” President Donald Trump has also threatened penalties on countries that continue trading with Tehran.

The US efforts to isolate Iran could increase the risk of retaliation and further disruptions to global energy markets.

Fuel supply concerns have also intensified after Ukrainian strikes on Russian refineries disrupted production and led to shortages in several regions.

Meanwhile, tighter Canadian crude supplies have left US Midwest refineries exposed, with Canadian oil accounting for around 70% of their feedstock.

US crude imports from Canada posted their steepest weekly decline since May in the week ended August 14, according to the EIA.