Gas prices to drop? US-Iran deal opens Strait of Hormuz.

Oil prices have fallen sharply after the United States and Iran reached a deal to reopen the Strait of Hormuz. However, US drivers should not expect immediate relief at the pump. Traders and analysts say cheaper gasoline will not arrive until crude oil and gasoline stockpiles are rebuilt. That process is unlikely to finish before the end of 2026. The Strait of Hormuz is a narrow waterway in the Middle East. About one-fifth of the world’s oil passes through it. The deal aims to restore normal shipping through the strait, which had been blocked by tensions between the two countries. For now, the price drop is good news for oil markets. But experts warn that lower prices at gas stations will take time. Consumers may need to wait more than two years for a return to pre-crisis levels.