NEW YORK – A rare mix of geopolitical tensions in the Middle East and China drags oil prices in the opposite direction and creates uncertainty where they will land.
The worsening trade talks between the United States and China, the two largest economies in the world, pose a serious threat to global economic growth and every time that growth breaks down, demand for oil and gasoline is usually a crater.
But rising tensions in the Middle East and elsewhere could threaten oil supplies, which could push oil and gasoline prices higher.
The impact on gasoline prices is difficult to predict. They usually ride when driving the season kicking into high gear for the summer. But given the conflicts throughout the world, they can rise to unusual heights or fall to levels that harm producers in the US and abroad.