KALAMAZOO, MI (WKZO AM/FM) – The escalating tensions, faltering diplomatic efforts, and growing fears over a widening conflict with Iran is now sending new ripple effects through the economic and political life of many in west Michigan again
Brent crude oil prices crossed the $100 per barrel mark, the Dow Jones just over 500 points Thursday.
Kalamazoo County Chief Deputy Treasurer Tyler White says during talks to end the war, they saw a brief period where their investments were actually earning fractionally more than the rate of inflation, but he expects that will have changed by his next report.
“With the war in Iran stepping back up, we expect that inflation is going to rise with it,” says White.
He says it’s primarily due to rising energy prices, which had dropped to just below $4 a gallon.
“AAA’s gas prices have shown that since hostilities have resumed that’s gone right back up again.”
White says he does not see that changing anytime soon, even best-case scenario.
“Even if peace were to come about today, it will still take time to get the oil market back in normal straights, so we expect to see higher oil prices at least through the end of the year into 2027.”
Gas prices always seem to come down a lot slower than they go up.
White manages the county’s money between the time they collect it from taxpayers and spend it on programs, investing it so that it’s earning a return, rather than just sitting in a bank account.
It’s less money for community programs and projects when they aren’t earning.
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