Crude oil prices fell as Middle East supply disruptions showed signs of easing, while gasoline futures rallied to a 1.75-month high on anticipated supply constraints.
WTI crude oil futures retreated 0.51% on Thursday as easing tensions in the Middle East suggested a potential recovery in supply routes. Conversely, RBOB gasoline prices climbed to a 1.75-month high, driven by expectations that refiners will prioritize diesel production, further tightening gasoline inventories.
Crude prices slipped as reports indicated that supply disruptions in the Middle East, specifically regarding Saudi pipeline capacity and transit through the Strait of Hormuz, are beginning to ease.
Gasoline prices are rising because refiners are expected to shift output toward diesel to meet record-high diesel prices, which is tightening the available supply of gasoline.