Trade Tensions Push Oil Price Lower

After weeks of moving higher because of tensions with Iran, Oil prices made a U-turn this week, dropping to just above $54 a barrel. And Patrick DeHaan with Gasbuddy.com said that decrease can be attributed to two words: Trade War.

“A lot of this arising from President Trump who escalated trade tensions with China last week slapping on additional tariffs effective September 1^st. That caused oil prices to buckle some 8% last week.”

DeHaan added with the exception of Iran, the current climate for oil and fuel prices is not pushed by geopolitical issues. And he said trade tensions between the world’s two largest economies makes it even more difficult to predict where oil prices and fuel prices are headed in the future.

“Simply because it’s more of a guessing game with how the issue between the U.S. and China on trade is going to go, and if Iran will start to make waves in the Strait of Hormuz.”

The national average for a gallon of diesel dropped one cent this week to $2.98, Washington’s diesel prices held steady at $3.29, while Oregon’s price dipped a penny down to $3.17.

As far as the lowest local diesel prices are concerned: