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#BREAKING The average price of unleaded gas in the United States rose to $3.41 per gallon Saturday, an increase of around 45 cents in the week since the U.S. and Israel launched coordinated attacks on Iran that rattled global oil markets and threatened regional supply routes.
Key Facts
Saturday marks the highest price at the pump since 2024, according to AAA—just two days ago, a then-27 cent increase was the biggest weekly jump since the onslaught of the Russia-Ukraine conflict in 2022.
At least 10 states have seen increases of at least 50 cents since the conflict began, including Indiana and Ohio both with jumps of more than 60 cents, according to Patrick De Haan, Head of Petroleum Analysis at GasBuddy.
The price of diesel rose to a national average of $4.51 Saturday, and it’s expected to hit $4.55 later in the day—the most expensive it’s been since February 2023, De Haan said, adding Saturday could see one state where average diesel prices have “risen by $1/gallon” over the last week.
However, there is optimism the rate at which gas prices are increasing may slow down early next week, De Haan said, adding that diesel prices may keep rising before stabilizing.
What To Watch For
New York City billionaire John Catsimatidis, owner of regional oil refining and gas station powerhouse United Refining Company, called the price hikes a “temporary fluctuation,” telling Forbes on Friday Americans will likely “suffer for one month.” President Donald Trump agreed, telling Reuters Thursday gas prices will “drop very rapidly when this is over,” saying the Iran conflict is “far more important than having gasoline prices go up a little bit.” The gas price hike has caused distress in the White House, according to Politico, which reported through an unnamed energy industry executive the Trump administration is “looking under every rock for ideas on improving energy prices, especially gasoline prices.”
Oil Prices Also Climbing
West Texas Intermediate, the U.S. benchmark for crude oil, hit $91 when trading ended Friday, the highest it’s been since October 2023. Brent, the international oil benchmark, peaked at around $94 per barrel Saturday before stabilizing at $92—a price it has not seen in at least two years. The U.S. gets the majority of its oil imports from Canada, but De Haan said disruptions to the Strait of Hormuz could push prices higher because oil is traded globally. Around 20 million barrels of oil pass through the strait daily, making it “the single most important factor” for the stabilization of gas prices, according to De Haan.
Crucial Quote
“There is a widespread expectation across the market that the alternative of not opening the Strait of Hormuz is just so apocalyptically bad that eventually something will happen,” Andon Pavlov, director of oil and tanker research at commodity tracking firm Kpler, said Thursday. “Is it going to happen? Every day makes it less
and less likely.”
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