Gasoline Drops to Over 2-Month Low
US gasoline futures fell to $3.04 per gallon, their lowest level since late August, amid hopes for diplomatic efforts to ease Middle East tensions. Iranian and Qatari officials held a third consecutive day of talks aimed at reaching an agreement to end the US-Israeli war on Iran. Meanwhile, US Secretary of State Marco Rubio said Saturday that President Trump had not made a decision on further strikes against Iran and that Washington remained open to a diplomatic solution. Additional pressure came from rising inventories and weaker demand. EIA data showed an unexpected 3.8 million-barrel increase in gasoline stocks in the week ended October 23, while gasoline supplied, a proxy for demand, fell by 624,000 bpd to 8.36 million bpd. However, inventories remained around 2% below their five-year seasonal average, while seasonal refinery maintenance and strong diesel production ahead of winter could limit gasoline output.
US gasoline futures fell to $3.04 per gallon, their lowest level since late August, amid hopes for diplomatic efforts to ease Middle East tensions. Iranian and Qatari officials held a third consecutive day of talks aimed at reaching an agreement to end the US-Israeli war on Iran. Meanwhile, US Secretary of State Marco Rubio said Saturday that President Trump had not made a decision on further strikes against Iran and that Washington remained open to a diplomatic solution. Additional pressure came from rising inventories and weaker demand.
EIA data showed an unexpected 3.8 million-barrel increase in gasoline stocks in the week ended October 23, while gasoline supplied, a proxy for demand, fell by 624,000 bpd to 8.36 million bpd. However, inventories remained around 2% below their five-year seasonal average, while seasonal refinery maintenance and strong diesel production ahead of winter could limit gasoline output.