Oil prices take a tumble, but fear remains that war with Iran will keep gas prices high
The escalating war in Iran is having a serious impact on gas prices. However, there may be hope on the horizon for New Yorkers fearing more pain at the pump.
There was a remarkable turnaround on Wall Street on Monday as stocks finished higher and oil fell from nearly $120 to below $90 per barrel.
The war "is very complete, pretty much," President Trump, who had predicted a duration of four or five weeks, said in a phone interview with CBS News, adding, "We're very far ahead of schedule."
Though the market reversal could mean a price drop in the immediate future, drivers couldn't help but notice earlier in the day the pain at the pump.
The national average for a gallon of regular to begin the day was $3.45, up nearly 50 cents over the past week.
Oil went well above $100 per barrel to start the week as the war in Iran continues to strangle the flow of tankers through the Strait of Hormuz, the critical waterway through which about one-fifth of the world's oil flows.
"Everything will be affected by these rising prices"
Diesel prices are also climbing fast, and experts say that will have impacts well beyond the pump.
"Everything is delivered to its retail by a diesel-burning truck. Clothes, cars, food, flooring, you name it, it all gets there by truck," said AAA Northeast's Robert Sinclair Jr.
Sinclair said those costs are passed on to consumers.
"So everything will be affected by these rising prices," he said.
On Sunday night, President Trump took to social media and downplayed the spike in oil and gas costs, calling each a "very small price to pay."
Senate Minority Leader Chuck Schumer has asked the White House to tap into the nation's strategic oil reserve.
New Yorkers fear the worst
Despite Monday's market rally, some in New York City's northern suburbs said they see the war with Iran leading to more high gas prices as inevitable.
"It's an unfair tax on working people and it's brought on by elites in government," said John, a Nyack resident.
"It's going to get higher. That's my thoughts," said Tracey Henry of Pomona, which is also in Rockland County. "And it's a shame. I hope it gets resolved soon, but who knows? I think it's going to go on."
