U.S. shoppers should brace for impact of higher oil prices, experts say
Summary
Rising oil prices caused by the conflict around Iran are increasing costs for U.S. companies that move goods. This will likely cause higher prices in stores and online, affecting shoppers across the country.Key Facts
- Global oil prices have risen more than 40% since fighting near the Strait of Hormuz began.
- The Strait of Hormuz is a key route that carries about 20% of the world’s oil and natural gas.
- Higher fuel costs increase the expenses for shipping goods by sea, road, and delivery services.
- The price of Brent crude oil rose from around $70 to about $108 per barrel since late February.
- Gasoline prices in the U.S. increased to an average of $3.92 per gallon by March 20.
- Inflation will increase due to higher gasoline and food prices.
- Some businesses, like grocery chains, feel pressure from higher supplier costs but are trying to avoid raising prices immediately.
- Online shoppers may face higher shipping fees or stricter rules for free delivery because of fuel surcharges increasing by 17% recently.
Read the Full Article
This is a fact-based summary from The Actual News. Click below to read the complete story directly from the original source.
