The United States and Iran have agreed to a two-week ceasefire, with Iran committing to reopen the Strait of Hormuz to oil tanker traffic in exchange for a halt to US strikes. The closure of the Strait since February 28 pushed US gas prices above $4 per gallon and diesel to $5.64. Energy analysts warn that pump prices will not fall immediately — the supply chain takes weeks to normalise — but the ceasefire significantly reduces the risk of gas reaching $5 per gallon this month.
