Diesel prices in the US and Europe rose sharply on Monday amid disruptions to supplies of refined oil products, including diesel fuel.

US ultra-low sulfur diesel futures surged 7.4% to settle at $4.19 per gallon on Monday, marking their largest single-day gain since July 13.

In Europe, diesel refining margins - measured by the spread between the price of refined fuel and the cost of crude oil - rose by approximately 10%.

The price rally comes as US distillate inventories, which include diesel and heating oil, stood at 107.2 million barrels as of July 31, reaching their lowest level for this time of year in three decades.