Trump waives shipping law as gasoline prices soar

President Trump has formally waived requirements that only U.S. ships can carry cargo between domestic ports as officials look to ease access to fuel and supplies while the Strait of Hormuz remains throttled. Why it matters: The White House is looking to pull multiple levers as the Iran war sends gasoline prices soaring and restricts access to goods needed by farmers and other industries.

Driving the news: Trump issued a 60-day waiver of the Jones Act, the White House confirmed Wednesday.

It's the 1920 law requiring that cargo transported by water between U.S. ports be shipped solely aboard vessels that are U.S.-built and citizen owned as well as registered under the U.S. flag and primarily crewed by Americans. The waivers could make it easier to move fuels from the Gulf Coast to areas on the East Coast.

State of play: The move is "another step to mitigate the short-term disruptions to the oil market as the U.S. military continues meeting the objectives of Operation Epic Fury," White House press secretary Karoline Leavitt said in a statement.

"This action will allow vital resources like oil, natural gas, fertilizer, and coal to flow freely to U.S. ports for sixty days, and the Administration remains committed to continuing to strengthen our critical supply chains," she said.

Yes, but: Market analysts say the move is likely to have only a modest effect at most on U.S. gasoline prices, which now average $3.84 per gallon per AAA — up from roughly $3 before the conflict began.

Oil prices rose higher Wednesday on signs of the war escalating further, with the global benchmark Brent crude up over $5 to roughly $109 per barrel.

The latest: The Israeli Air Force struck a natural gas processing facility in southwestern Iran, two senior Israeli officials said.

It's the first time Israel has struck Iran's natural gas facilities, which are key to the country's economy. "The strikes against the heart of Iran's natural gas infrastructure mark a step up in U.S. and Israeli operations, which have until now largely spared Iran's oil and gas sector," said Torbjorn Soltvedt, principal Middle East analyst at risk intelligence company Verisk Maplecroft. "For anyone looking for signs of de-escalation, this is the opposite signal."

What we're watching: Energy prices are poised to move even higher as the war continues.

The U.S. and other governments are taking steps to ease the unprecedented energy market disruptions, including releases from emergency oil stockpiles. But officials — including International Energy Agency head Fatih Birol —say there's no way to compensate for the throttling of the Strait, which handles roughly 20% of the oil and petroleum trade.