Rise in gasoline and diesel with the resumption of tensions USA

The hopes of a fuel price drop at the pump in Europe were dashed this weekend after what seemed like a breakthrough in the Strait of Hormuz but turned out to be short-lived, causing oil prices to rise again and consequently increasing the price of gasoline and diesel.

Markets had welcomed Friday’s announcement of a potential reopening of this strategic maritime route, but the weekend events reversed the trend and pushed prices higher.

At the time of writing, the U.S. benchmark barrel is up 10% from last Friday’s low, settling around $87, while the Brent, the international benchmark, has risen by 9.5% to around $94.3 per barrel.

The latest Weekly Bulletin on oil product prices from the European Commission was published last Thursday, before the latest developments between the United States and Iran, reporting an average price of €1.853 per liter for Euro-super 95 gasoline in the EU.

According to this data, the average price of diesel stood at €2.099 per liter.

Both prices, including taxes, had slightly decreased compared to the previous week, but after the attack on several ships in the Strait of Hormuz on Saturday and the turnaround of dozens of others, whose owners deemed it still unsafe to cross, prices are expected to rise again.

Concerns are growing in the United Kingdom, where Edmund King, president of the Automobile Association, expressed caution, stating that global uncertainty is likely to halt the price drop and if the situation persists, prices will rise again.

These disruptions also fuel concerns about jet fuel supply.

Last week, the Executive Director of the International Energy Agency, Fatih Birol, mentioned that Europe may have “perhaps no more than six weeks of jet fuel.”

U.S.-Iran: Negotiations Update

On Friday, Iranian Foreign Minister Abbas Araghchi assured that the Strait of Hormuz would remain “completely open” to commercial vessels during the remaining ceasefire period.

U.S. President Donald Trump immediately echoed this message on social media, describing the waterway as “fully open and ready for trade.”

Reference prices reacted by dropping more than 10%.

Less than twenty-four hours later, it became apparent that the situation had not improved.

Tehran hardened its stance, with officials denouncing what they consider to be excessive demands from the U.S. in any potential agreement.

Reports also surfaced of Iranian forces disregarding the Foreign Minister’s statements, raising questions about internal coordination and the identity of those in Tehran who direct and give orders regarding maritime policy.

Nevertheless, U.S. representatives, including special envoy Steve Witkoff and senior advisor Jared Kushner, are set to travel to Islamabad on Monday to try once again to reach an agreement, according to the White House.

This visit follows an initial round of discussions in Pakistan earlier this month, which ended without a breakthrough.

Vice President JD Vance was initially supposed to join the delegation, but Donald Trump later confirmed his absence, citing security reasons.