Veteran political strategist Dick Morris said the sharp drop in gasoline prices following the U.S.-Iran memorandum of understanding will reshape the 2026 midterm landscape and help Republicans keep the House and the Senate.

Speaking on Newsmax TV's "Saturday Report," Morris, a Newsmax contributor and former adviser to President Bill Clinton, framed the pump price as the single economic indicator voters track most closely.

The national average for regular gasoline fell to $3.99 a gallon Thursday, down from $4.51 a month earlier, after the U.S. and Iran signed an agreement that calls for reopening the Strait of Hormuz.

"Well, it's a huge impact," Morris said. "I think the one economic statistic that everybody knows is how much they paid for gas yesterday. And as that has dropped so enormously and will continue to drop so visibly and so quickly, I think it's having a huge impact."

He cautioned that the relief depends on enforcement of the MOU, arguing the leverage is military rather than textual.

"The issue with the [Iran] deal is, will Trump enforce it?" Morris said.

"And the key element here, I think, is not that the deal itself has provisions that [former President Barack] Obama didn't have. It's that we have total mastery of the air over Iran at this point. They have no navy, they have no air defenses. They have no air force. And Donald Trump can impose our will, and he will do so through this agreement."

Pressed on the midterms, Morris predicted Republicans would hold the House.

"The reapportionment itself is giving us an advantage of about 10 seats," he said, adding that the broader economy "is doing great on all cylinders" with gas prices now eliminated as a drag.

The Cook Political Report estimates a net gain of a half-dozen seats for the GOP, and the University of Virginia Center for Politics found 14 more districts where Trump cleared 55% under the new lines.

A new NBC News poll released June 14 showed Democrats with a 5-point generic ballot lead, 49% to 44%, narrowed from a 6-point edge in March.

President Trump's approval rating fell to 42% among registered voters, his second-term low. The margin of error is plus or minus 2 percentage points.

Morris predicted a "huge drop" in Democratic favorability and dismissed the abstract polling.

"They don't vote in the abstract. They vote concretely," he said. "I think the Democrats are cooking themselves with their opposition to the Iran deal, with their opposition to the falling gas prices, and with the socialism creeping in on their left. The Democratic Party is self-destructing."

He predicted Republicans "are going to win the House and the Senate."

Democrats need a net gain of three seats to flip the House and four to take the Senate.

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