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Will gas prices continue to drop as violence flares overseas?
WPTZ • • business
Key Points:
- The U.S. military conducted new strikes against Iran following reported attacks on three tankers in the Strait of Hormuz, escalating tensions in the critical oil shipping route.
- Despite a nearly 40-cent per gallon drop in national gas prices compared to last month, the decline has slowed, partly due to ongoing violence in the Strait of Hormuz and geopolitical tensions.
- Patrick De Haan of GasBuddy highlighted that attacks by Ukraine on Russian refineries have had a more significant impact on gasoline, diesel, and jet fuel prices than the Strait of Hormuz conflict, due to reduced refining capacity in Russia.
- Additional factors affecting gas prices include high summer demand, the need for a more expensive gasoline blend, and potential disruptions from severe weather during hurricane season.
- Given these combined influences, experts predict that gas prices are unlikely to return to pre-war levels by Labor Day, with possible relief not expected until Christmas or even as late as 2027.
