US diesel prices have reached an all-time high, with the average price per gallon hitting $5.85, driven by rising wholesale oil prices linked to the ongoing Iran conflict.
Fuel prices have surged since the Iran conflict began in late February, reflecting the increase in wholesale oil prices. The average price for one gallon of diesel in the US has now reached $5.85, compared to $3.71 a year ago and above the previous high following Russia's invasion of Ukraine, according to the American Automobile Association (AAA).
US President Donald Trump recently pledged to 'substantially lower Gas Prices for all Americans' through an oil deal with Venezuela. The latest agreement, announced on Saturday, calls for the development of 17 strategic oil fields with a proven potential of 65 billion barrels, as well as 'an investment of more than $100bn and more than $209bn in taxes' for Venezuela, according to Interim Venezuela President Delcy Rodríguez.
Why it matters
Rising diesel prices are affecting commercial vehicle operators and increasing costs for American consumers ahead of the midterm elections.
This section reflects Dumpling editorial interpretation and is provided for context only.
What to watch
The success of the Venezuela oil deal and its potential impact on reducing fuel prices in the US.
This section reflects Dumpling editorial interpretation and is provided for context only.