The national average price for regular grade gasoline in the United States fell to $3.99 on Thursday, dropping below $4 per gallon for the first time since March 30. This decline marks the third straight week that gas prices have fallen after more than three months of elevated costs resulting from the war with Iran.
The price drop follows a signed agreement between the United States and Iran to end the war and reopen the Strait of Hormuz. Under the terms of the agreement signed by President Donald Trump, Tehran will dilute its stockpile of highly enriched uranium, and the U.S. will waive sanctions on the country.
Despite the recent relief at the pump, prices remain significantly higher than they were before the conflict started. Gas prices are still 30% higher than they were prior to the February 28 attack on Iran by the U.S. and Israel, meaning drivers are paying approximately a dollar more per gallon overall.