US President Donald Trump said that oil prices will fall sharply in the near future. He made the statement at an election rally in Fort Myers, Florida, ahead of the midterm elections for Congress, and his words were broadcast by the television „Fox News“.
„Oil prices are going to fall very, very significantly“, Trump told his supporters. He added that the rise in prices began after the start of US military operations related to Iran, but according to him, the market is already improving significantly.
Market data shows the opposite direction
The latest trade data does not confirm the claim that a significant decline has begun. According to the Associated Press, the price of the international benchmark “Brent“ rose by 3.1% to $116.72 per barrel on October 23. This is the highest level since June 2022. In early October, the price was below $97 per barrel.
The rise in price is related to cuts in global supplies and uncertainty around oil transportation in the Middle East. The ongoing war between the United States and Iran is putting pressure on the market, and any new attack or threat to key routes raises concerns about further supply restrictions.
Fuel remains a political issue
Higher oil prices are already being passed on to American consumers. The Associated Press reported that the average price of gasoline in the United States has reached $4.33 per gallon, and that of diesel is $6.33 per gallon. Both values are significantly above the levels before the war began.
The topic is particularly sensitive for Republicans ahead of the November 3 congressional elections. Trump has repeatedly stated that the conflict will end soon and that with the restoration of normal supplies, oil and fuel prices will fall. For now, however, the market remains dependent on the development of military actions and signals of a possible diplomatic solution.
The next important moment for the energy market will be the OPEC+ meeting on November 1. It will discuss market conditions and the production policies of the main exporters.
Sources: apnews.com, foxnews.com