By Steve Holland and Humeyra Pamuk
WASHINGTON, March 10 (Reuters) – The Trump administration on Tuesday tried to calm concerns across the American public over rising energy costs due to Washington’s war with Iran, saying the recent jump in oil and gas prices was temporary.
Oil prices surged on Monday to more than $119 a barrel, their highest since June 2022, as supply cuts by Saudi Arabia and other producers stoked fears of major disruptions to global supplies.
Soaring energy prices have sent stock markets lower, threatened broad economic damage, and pose a risk for U.S. President Donald Trump’s fellow Republicans in this year’s midterm elections as voters tell pollsters the cost of living is a top concern.
Speaking at a news briefing at the White House, press secretary Karoline Leavitt said the U.S. military action would lead to lower energy prices.
“Rest assured, to the American people, the recent increase in oil and gas prices is temporary, and this operation will result in lower gas prices in the long term,” Leavitt said.
Crude oil prices on Tuesday eased off Monday’s dramatic gains, and it remains to be seen where gasoline prices will head in the nearly nine months leading up to the November 3 election that will decide control of Congress. Even before the Iran war, U.S. voters were angry about the high cost of living and frustrated that Trump has not done more to address it, Reuters/Ipsos polls show.
Leavitt said Trump and his energy team were closely watching the markets, speaking with industry leaders, and that the U.S. military was drawing up options in line with the president’s directive to keep the Strait of Hormuz open.
About 20% of the world’s daily oil use transits through the Strait off Iran. The conflict has prompted marine insurers to cancel war risk coverage, halting most tanker traffic.
Leavitt was asked about the timeline on when the war might end following Trump’s conflicting statements on Monday.
“We know that the U.S. military and our brave war fighters are quickly and expeditiously executing these objectives well ahead of schedule, but ultimately the operations will end when the commander in chief determines the military objectives have been met,” she said.
She added that the U.S. military was now moving to dismantle Iran’s missile production, and that U.S. B-2 bombers have recently dropped 2,000-pound bombs on what she described as deeply buried missile sites in Iran.
(Reporting by Steve Holland, Humeyra Pamuk and Bo Erickson; Editing by Bhargav Acharya, Michelle Nichols and Bill Berkrot)
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