President Donald Trump made a bold statement about the future of oil prices, offering Americans a candid assessment of what to expect at the pump amid the ongoing conflict with Iran.
Donald Trump says Americans should expect high oil prices
President Donald Trump told reporters Americans should expect higher gas prices “for a little while,” CNBC reported on Thursday. Trump made the remarks during a health-care affordability event in the Oval Office. He linked the rising costs directly to the ongoing war with Iran but offered no specific timeline for relief.
Trump expressed surprise at how markets have responded to the conflict so far. “I thought oil would go up to maybe $200 a barrel. And oil is a very different number than anyone thought,” Trump said. He added that the stock market sitting at an all-time high defied his expectations of a 20 to 25 percent decline.
Brent oil futures rose about 3% on Thursday to close at $105.07 per barrel. West Texas Intermediate futures advanced around 3% to close at $95.85 per barrel. Gas prices have surged more than 30% to top $4 per gallon since the war began, according to AAA.
The latest CNBC All-America Economic survey found nearly 80% of Americans have changed spending habits due to rising fuel costs. The nationwide poll of 1,000 people ran from April 15 to 19 with a 3.1% margin of error. A majority of respondents said they expect higher prices to last at least six months.
Trump said he rejected a proposal from Tehran to reopen the Strait of Hormuz. “We have total control of it, and it’ll open when they make a deal or something else happens,” he said. He argued that temporarily higher prices will lead to a deal preventing Iran from obtaining a nuclear weapon. Trump also claimed the U.S. military destroyed Iran’s navy and took the country “out militarily” in four weeks.
Originally reported by Vritti Johar on Mandatory.com.
