President Donald Trump announced Tuesday that the United States is pulling out of the Iran nuclear deal, a decision that could impact your wallet.
If oil markets hate anything, it's uncertainty. As tensions ramp up between the U.S and Iran, so will gas prices at the pump.
Fired up Iranian lawmakers burned the American flag after President Trump's decision to walk away from the Iran nuclear deal, an outward sign of rising tensions between the two countries.
Megan Osborne of AAA of Tennessee said we could see some major knee-jerk reaction to what's happening in the Middle East. It could translate into high prices at the pump.
"We are expecting to see the highest prices that we've seen since 2014," said Osborne.
To refresh your memory, the average price for a gallon of gas from June through September 2014 was $3.35 per gallon.
AAA doesn't expect prices to come anywhere near those levels, but $3 and perhaps higher is not out of the question.
Prices at the pump are dictated by the price of crude oil. Currently, it’s $70 per barrel, but if tensions in the Middle East ramp up, it could send a barrel of crude even higher.
Adding to the price mix is the summer driving season when pump prices usually spike upward.
AAA said you shouldn't see any price increases at the pump for two weeks to a month.
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