Don’t fill up your gas tanks until Thursday, says one industry analyst.
Dan McTeague, the president of Canadians for Affordable Energy, predicts that the price of gas in Toronto and the rest of southern Ontario will drop 10 cents a litre on Thursday to 173.9.
The last time the price was that low was on April 24, McTeague says.
“That’s music for the ears for many who haven’t seen those kinds of prices,” McTeague said in an interview with CP24.
He adds that diesel will also fall below $2 to 195.9, a seven-cent-a-litre drop.
“All this really has to do with headlines that are suggesting that somehow there’s going to be some kind of a peace agreement between the U.S. and Iran, that hasn’t happened, but markets seem to be really amused by this, and they’re willing to shed a lot of their positions,” McTeague said.
Earlier this week, there were reports that the United States could be close to reaching a deal with Iran that would end the war and reopen the Strait of Hormuz, which is where a fifth of the world’s oil supply passes through.
“Even though you’ve had what is about what, five, six deals on this so far, even though there have been none closed, they believe that something is going to happen imminently, just around the corner. So, let’s take advantage of this while we can, until the market has another decision to go in a different direction,” McTeague said.
With files from The Associated Press
