US gasoline futures rose above $3.48 per gallon, near the highest level since the end of May, as the US-Iran conflict escalated to the Bab el-Mandeb Strait, fueling concerns over further disruptions to energy supply.
Nearing a second consecutive week of strikes, a new front in the conflict opened in the Red Sea after President Donald Trump said Iran would be held responsible for any further attacks, following claims by Iran-backed Houthi rebels of strikes on two Saudi oil tankers.
Tankers have increasingly avoided the Bab el-Mandeb Strait, raising the risk of another disruption to a key global shipping route.
Adding to the pressure, earlier Ukrainian strikes on 24 out of 34 largest Russian refineries, and US refineries running at 96.1% of their capacity, further weighed on refined supply outlook.
Still, fuel supplies in Russia showed signs of improving after Ukraine shifted attacks away from major oil refineries toward maritime targets.