Oil prices suddenly declining, raising hopes gas may follow
Oil prices have suddenly reversed course, falling almost as quickly as they rose in the early days of the Russian invasion of Ukraine.
- Why it matters: The about-face raises the prospect of a corresponding drop in gas prices, which hit a record high last week.
By the numbers: The price of West Texas Intermediate — the U.S. benchmark crude oil — tumbled below $97 per barrel on Tuesday, having fallen more than $33 from its peak about a week ago.
- That's only a few dollars more than it was priced at when the invasion began.
- The national average price of gasoline — which tends to move in lockstep with oil prices, lagging only a few days as the market catches up — has leveled off in the low $4.30s over the last several days, according to AAA.
What we're watching: Whether Russia moves to cut off oil or gas supplies from Western customers, which could lead to another price spike.