Gas prices keep climbing as Trump clashes with Europe and the Fed
US gas prices are still rising with no end in sight, and that's bad news for drivers, Trump's midterm hopes, and poorer oil-importing countries.
- Gas hit $4.43 a gallon, up 7 cents in a single day, and analysts say the worst is still to come.
- The damaged Saudi pipeline will likely take a month or two to fix, not the "matter of days" the Trump administration claims, and Houthi attacks could knock it out again.
- Countries are running low on oil reserves, which had been holding prices down until now.
- Trump threatened heavy tariffs on Europe over a plan to make Canada an associate EU member, calling it a "hostile act," while Canada's Carney pitched partnerships and said Canada will choose its own allies.
- After the Fed raised rates, Trump demanded rates of 1% or less and claimed the US would gain $1.5 trillion a year by halting trade with deficit countries.
Trump says Iran wants a deal and the war may end soon, but Iran's terms haven't changed: pay for the war, lift the blockade, and rein in Israel. A US-contracted ship was just hit by Iran, and the Houthis are gaining ground in Yemen, keeping Saudi oil shipments at risk. A new poll shows the Michigan Senate race tight, with the Democrat under 50% even though most voters want Democrats to control the Senate.
Outlook: Expect gas prices to keep rising through and past the midterms, with poorer oil-importing countries like Thailand, Vietnam, and the Philippines hit hardest as the global squeeze deepens.