US Gasoline Prices Fall Below $4 per Gallon After Oil Retreat, Iran Deal
US gasoline prices have dropped below $4 per gallon for the first time since March, driven by lower crude oil prices following the US-Iran interim peace deal. However, analysts caution that relief may be limited due to depleted inventories and refinery constraints.
US gasoline prices have fallen below $4 per gallon for the first time since March, according to data. The decline follows the US-Iran interim peace deal and expectations for a gradual reopening of the Strait of Hormuz, which pressured crude oil prices lower.
While lower crude costs are providing some relief to consumers after months of energy-driven inflation, analysts warn that the relief may be limited. Depleted inventories, refinery constraints, and ongoing supply-chain disruptions continue to pose risks.
Despite the recent drop, US gasoline prices remain approximately 25% higher than a year ago and about $1 per gallon above pre-war levels. Elevated energy costs continue to pressure households and contribute to persistent inflation across the US economy.
Source: First Squawk