US petrol prices dip ahead of midterms as voters eye costs

Petrol prices in the United States have eased ahead of the midterm elections, offering some relief to drivers even as fuel costs remain elevated. The national average for regular petrol stood at $4.17 a gallon on Monday, according to the American Automobile Association, which tracks daily prices. Diesel prices also fell slightly, to $6.29 a gallon, but remain high by recent standards.

The latest figures show regular petrol down 12 cents from a week earlier and 23 cents lower than a month ago. A year ago, the average price was $3.04 a gallon, while it was $2.98 on February 28, when the United States and Israel first struck Iran. Diesel prices were down 6 cents from the previous week, after climbing above $6 a gallon for the first time in September and later peaking at $6.53.

Oil prices were also falling on Monday, dropping 6 percent as diplomatic efforts continued to end the war on Iran after in-person talks in Qatar over the weekend. One petroleum analyst said wholesale gasoline and diesel prices pointed to a further decline in the national average, potentially taking petrol below $4 a gallon within a week if the trend holds. The same analyst linked the move to signals that the US president favoured negotiations rather than new attacks on Iran.

The price movement matters because cost of living remains one of the main issues for voters heading to the polls. An AP-NORC poll last month found that a majority of Americans wanted Congress to prioritise living costs, including 78 percent of Republicans and 89 percent of Democrats. That makes fuel prices politically sensitive, especially when they affect household budgets, commuting costs and broader inflation expectations.

The current easing comes after months of volatility in fuel markets tied to the conflict involving Iran and the wider squeeze in global fuel demand. The average petrol price during the current presidential term was on course to exceed $3.46 a gallon on Monday, which would surpass the previous record for a presidential administration set under former President Joe Biden, according to a Financial Times analysis of federal data. That comparison underlines how sharply prices have moved in recent months, even after the latest decline.

What happens next will depend on whether diplomatic efforts continue to reduce tensions and keep oil markets under pressure. It is not yet clear how long the current drop will last, or whether petrol prices will stay below $4 a gallon in the coming days. Drivers are likely to watch both the political talks and the next round of fuel data closely as the election approaches.

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