Rising crude oil and gasoline prices due to dollar weakness and Iran concerns

From Yahoo Finance: 2025-07-01 11:40:00

Crude oil and gasoline prices are on the rise today, with August WTI crude oil up 0.46% and August RBOB gasoline up 0.61%. This increase comes after the dollar index hit a 3 1/3-year low, and concerns about Middle East tensions and Iran cutting off communications with the IAEA. However, expectations that OPEC+ will increase crude production by 411,000 bpd may limit gains. President Trump’s comments on Iran’s nuclear program also impact oil prices.

Positive global economic news supports energy demand and crude oil prices, with various economic indicators exceeding expectations. On the other hand, concerns about a global oil glut persist as Russia considers another output hike for OPEC+ crude production in August. OPEC+ plans to gradually restore 2.2 million bpd of production, with Saudi Arabia signaling additional increases to punish overproducing members.

Gasoline prices are supported by AAA projections of a record 61.6 million people traveling by car during the Fourth of July holiday, indicating stronger demand. However, oil prices are affected by tariff concerns as President Trump plans unilateral tariffs and recent declines in crude oil stored on tankers. Last Wednesday’s EIA report showed US crude oil inventories below the 5-year average, while active US oil rigs reached a 3-3/4 year low.



Read more at Yahoo Finance: Dollar Weakness and Iran Concerns Boost Crude Oil Prices