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Andrew Ackerman, industry influencer, reports that the Federal Reserve Bank of Dallas projects the cost of a barrel of crude oil could rise above $167 if the Strait remains closed through September.
According to Ackerman, this price surge would correspond to at least $5 per gallon of gasoline, based on historical trends.
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Last month, energy prices registered an 11 percent jump, the largest monthly increase in more than two decades, amid record gasoline prices as noted by Ackerman in a previous report. Recent data also shows that rising U.S. costs have reduced the purchasing power of $1 million to about $480,000 over 30 years, according to his earlier analysis. These trends highlight ongoing concerns about the impact of energy prices on consumer spending.