U.S. retail gasoline prices fell below $4 a gallon on June 18 for the first time since late March, giving motorists some relief as crude prices eased following a tentative U.S.-Iran deal and signs of smoother oil flows through the Strait of Hormuz.
According to AAA, the national average for regular gasoline dropped to $3.999 a gallon, down from more than $4.50 in May. The decline followed a retreat in crude prices as markets reacted to a temporary sanctions reprieve for Iranian oil and renewed tanker movement through the key Gulf shipping route.
Analysts warn, however, that fuel prices remain well above pre-war levels and could stay elevated through the summer because of tight inventories, refinery constraints and uncertainty over how quickly regional energy flows can fully normalize.
