Oil prices are plunging after President Donald Trump and the White House announced the Strait of Hormuz is now “completely open and ready for business.”
The price of oil per barrel dropped to $82.20 as of 9 a.m. MT/10 a.m. CT on Friday, April 17, after weeks of hovering around the $100 mark, according to CNBC. The plunge comes as the White House shared an update on X early Friday that the Strait of Hormuz was open, but a naval blockade would remain in place until its negotiations with Iran are “100% complete.”
Trump, in a Truth Social post on Friday morning, said that Iran has agreed to “never close the Strait of Hormuz again.”
“It will no longer be used as a weapon against the world,” Trump said in the post.
Iran’s Foreign Minister Seyed Abbas Araghchi also said in an April 17 social media post that the strait is “completely open.” Roughly 20% of the world’s oil is transported through the waterway. Restoring shipping traffic through the strait has been a major focus of the U.S. in negotiations to end the war.
The U.S. has been negotiating with Iran to turn the two-week ceasefire into a permanent peace deal. The first round of talks in Islamabad, Pakistan, failed to produce a deal. Trump said on April 16 that a second round of in-person talks could take place over the weekend, USA TODAY reported.
Here’s what to know about oil and gas prices as the Strait of Hormuz is open.
What are oil prices today?
The price of oil per barrel dropped to $82.20 as of 9 a.m. MT/10 a.m. CT on Friday, April 17, after weeks of hovering around the $100 mark according to CNBC.
Gas prices today
Gas prices also appear to be dropping — slowly.
According to AAA, the average price across the country for a gallon of regular gas on Friday, April 17, is $4.076, down from $4.153 a week ago. Some states, like California, Nevada, Washington and Oregon, are still paying about $5 or more per gallon for fuel.
Did Iran open the Strait of Hormuz?
Trump said the fight with Iran over the Strait of Hormuz is “over,” declaring in a phone interview with USA TODAY that the deal reached Friday was ”a great victory.’
Iran’s Foreign Minister Seyed Abbas Araghchi also said in an April 17 social media post that the strait is “completely open.”
“It’s over, it’s a great victory,” Trump said in an April 17 phone call.
USA TODAY contributed to this story.
Natassia Paloma may be reached at npaloma@gannett.com, @NatassiaPaloma on x; natassia_paloma on Instagram, and Natassia Paloma Thompson on Facebook.
This article originally appeared on El Paso Times: Oil prices plunge as Strait of Hormuz is ‘completely open’
Reporting by Natassia Paloma, El Paso Times / El Paso Times
USA TODAY Network via Reuters Connect
