**Crude Oil and Gasoline Prices Surge Amid Geopolitical Tensions**
On Tuesday, March WTI crude oil closed up $1.76 (+2.90%), reaching a three-month high, while March RBOB gasoline increased by $0.0444 (+2.42%) to an eight-week high. The rise in prices is attributed to a dip in the dollar index to a nearly four-year low and heightened concerns over potential US military actions against Iran. President Trump indicated that a significant naval deployment is heading to the Middle East, intensifying fears of disruptions in oil supplies from OPEC’s fourth-largest producer.
The International Energy Agency (IEA) recently cut its 2026 global crude surplus estimate to 3.7 million barrels per day (bpd) from 3.815 million bpd. Simultaneously, the US Energy Information Administration (EIA) raised its 2026 US crude production estimate to 13.59 million bpd. Reports indicate that crude oil inventories increased by approximately 1.95 million barrels, while gasoline supplies rose by about 2.55 million barrels. Furthermore, geopolitical tensions remain high as Ukrainian drone and missile strikes continue to limit Russian oil exports, impacting global supply.
