As a result of the newly-set market expectations and the decline in oil prices, consumer relief at the pump was swift, with more likely in coming days. The nationwide average regular gas price, which was $4.14 on election day, has already fallen to $3.97.

Diesel prices have also fallen sharply in recent days, from $6.28 per gallon on election day, to $6.15, which could take even more pressure off consumers at the grocery store or during their holiday shopping trips.

The rise in diesel prices, economists say, can quickly spill over into inflation on grocery and department store shelves, given that the fuel is critical for transporting goods around the country and world on trains, ships and trucks.

The rise in diesel has been far more than the rise in gas prices, with the commercial fuel still elevated by more than 70% since the start of the year, due to not only the Iran war but also continued attacks on energy infrastructure in the Ukraine-Russia war.

Ukrainian President Volodymyr Zelenskyy has promised to continue striking Russian energy assets, in retaliation for attacks on Ukraine. Russia has historically been one of the largest diesel exporters to the rest of the world.

The U.S. is hosting talks between Russia and Ukraine n Abu Dhabi on Tuesday, the first trilateral negotiations since February.

But analysts warn that oil markets still face several significant risks, which could limit further downside, or spark another price surge.

“How all this plays out is still highly uncertain,” said ING’s team, adding that in their assessment “the degree and speed to which the oil market has sold off seems to be overdone.”

Oil markets will also need to support the refilling of hundreds of millions of barrels of reserves that have been emptied this year in an attempt to keep a lid on prices. The U.S. strategic petroleum reserve currently contains the smallest amount of crude oil since 1982.

Citigroup commodities analysts noted that “the period between now and January 3rd, when the new Democratic Congress is seated, is a ‘lame duck’ window during which the White House could seek to advance foreign policy objectives as well as personnel changes with fewer political constraints.”

“This period could see either accelerated dealmaking or renewed escalation, meaning markets could remain choppy even if the longer-term direction points to eventual diplomatic resolution,” Citi’s analysts wrote.

Already, Trump has announced some changes. On Friday, Susie Wiles left the White House as Trump’s chief of staff, replaced by Stephen Miller, the architect of the administration’s hard-line immigration crackdown.

Citi’s team also said that the recent Israeli elections could have implications for oil prices. “The recent inconclusive Israeli elections mean that Prime Minister Netanyahu could continue to pressure the US to be more hawkish on Iran for the moment.”

On Saturday, Netanyahu’s long tenure came a step closer to ending. Israeli president Isaac Herzog handed Netanyahu’s rival Gadi Eisenkot the chance to form the country’s next government. But, for at least the next six weeks, Netanyahu remains in place.