US Gas Prices Reach $3.58 on Iran Conflict Disruptions

Gas prices have surged across the United States and globally, driven by escalating conflict in Iran that has disrupted vital oil shipping routes, pushing the national average in the U.S. to $3.58 per gallon for the first time since early 2023 with every state now exceeding $3.

The rapid increase stems from violence in the Middle East, where U.S. and Israeli strikes on Iran, now in their third week, have led to retaliatory actions by Tehran. These include attacks on tankers in Iraqi waters and fuel infrastructure in Bahrain, as well as drone interceptions near Saudi Arabia's Shaybah oil field. The Strait of Hormuz, a narrow waterway handling about 20 percent of the world's oil supply, has seen slowed shipping traffic and temporary closures, tightening global energy markets. Iraq, Kuwait and Saudi Arabia have reduced output in response, exacerbating supply constraints.

In the U.S., the national average rose 16 cents in one week to $3.48 before climbing further to $3.58, according to data from AAA and industry trackers. California leads with the highest prices at $5.20 per gallon, followed by Washington at $4.63 and Hawaii at $4.52. Urban areas like Oakland and San Francisco report...