Chevron Chief Financial Officer Eimear Bonner has signaled that U.S. gasoline prices are poised to decline, attributing the expected shift to stabilizing conditions in the Middle East.
Speaking to CNBC, Bonner emphasized that while major energy companies are actively working to increase fuel supply, the transmission of lower crude costs to retail pumps is a lagging process.
Brent and WTI crude prices fell approximately 3% on Thursday, reversing a week of gains that had been driven by escalating tensions in the region.
She cautioned that the drop in prices will not happen overnight, managing expectations for a gradual rather than abrupt correction in consumer fuel costs.
Crude oil markets have already begun to reflect the de-escalation of geopolitical risk.
Brent and WTI crude prices fell approximately 3% on Thursday, reversing a week of gains that had been driven by escalating tensions in the region.
The sell-off followed reports that former U.S. President Donald Trump indicated he would not resume military strikes, effectively removing a key risk premium from energy valuations.