US gasoline futures rose above $3.20 per gallon on Wednesday, following a brief decline in the previous session, as markets weighed the certainty of signs of de-escalation in the Middle East conflict. President Trump said the US could withdraw from Iran within two to three weeks and suggested a formal deal with Tehran is not required for the conflict to end. Markets remained cautious, however, as he oscillated between signaling a near-term agreement and warning of potential escalation.
At the same time, additional US troops arrived in the region, and Tehran said no peace talks were underway but indicated it is ready to end the war if its conditions are met. Meanwhile, gasoline posted a historic 30% monthly surge in March, driven by a broader supply shock from disruptions in the Strait of Hormuz, through which roughly 20% of global oil flows have been nearly halted since the war began.
