U.S. gas prices dip below $4 as Trump and Iran sign Strait of Hormuz agreement

U.S. gasoline prices fell to an average of $3.99 per gallon on Thursday, marking the first time the national average has been below $4 since March. The decline follows a memorandum of understanding signed by President Donald Trump and Iranian President Masoud Pezeshkian that outlines steps to reopen the Strait of Hormuz to commercial shipping and to lift the U.S. blockade of Iranian ports. The agreement sets a framework for initial passage, while longer-term arrangements for the strait remain to be negotiated.

"The memorandum lays out terms to begin opening the Strait of Hormuz to commercial vessels and for the U.S. blockade of Iranian ports to be lifted," the joint statement said.