National Economic Council Director Predicts Oil Flow Through Strait of Hormuz Within Two Months

National Economic Council Director Kevin Hassett said Sunday that oil shipments through the Strait of Hormuz are likely to resume within one or two months. Hassett spoke on ABC's "This Week" with Jonathan Karl. He noted increased traffic through the strait compared with two weeks earlier and said refineries in Pakistan and India would soon receive oil.

Hassett said global refined product prices would fall once refineries increase output. Gas prices have risen since the strait closed in late February. Hassett said the increases have been smaller than many forecasts because buyers found alternative supply routes.

The national average for gasoline stood at $4.34 on Sunday, down slightly from above $4.50 last week, according to AAA data. The average one year earlier was $3.15.

Hassett said Americans would judge their economic situation by changes in their wallets once prices adjust. He previously told Fox Business Network that prices would drop sharply once the strait reopens. Energy Secretary Chris Wright said earlier this month the strait would reopen by summer at the latest.

Reopening the strait is part of a tentative U.S.-Iran agreement to extend a 60-day ceasefire. President Trump said last Friday he would make a final determination on the deal during a White House Situation Room meeting, though no update followed the session.