Gas prices fall below $4 a gallon for the first time in nearly 3 months

Gasoline prices in the U.S. have dropped below $4 a gallon for the first time in nearly three months, reaching an average of $3.99 per gallon, according to AAA. This decrease follows a surge in prices due to the war in Iran, which had caused global oil prices to rise. The recent decline is attributed to a preliminary agreement between the U.S. and Iran to end the conflict, which has reopened the Strait of Hormuz, a crucial passage for oil transport. This reopening has allowed more ships to pass through, easing supply constraints. Brent crude and West Texas Intermediate prices have also fallen, reflecting this positive development. Experts suggest that if the situation continues to improve, gas prices could drop further, potentially falling below $3 a gallon by early 2027. The ability of Iran to sell oil on the market again could accelerate this trend, aiding global oil inventory recovery. QUESTION: How might the reopening of the Strait of Hormuz impact global economies and everyday life in the U.S.?