Geopolitical War Premium

The de facto blockade of the Strait of Hormuz continues to restrict over 5 million barrels per day of regional flow. Traders are pricing in a severe supply deficit as diplomatic efforts in Islamabad show little progress.

Refinery Momentum

High utilization rates at US Gulf Coast refineries are creating a strong pull for domestic barrels. Refiners are maximizing throughput to capitalize on high gasoline margins ahead of the summer season.