Overview
- The six-month mark of the U.S.-Iran conflict has left the national average for regular gasoline at about $4.09 to $4.10 per gallon, making August on track to be the most expensive August on record.
- Disruptions to oil shipments through the Strait of Hormuz have tightened global crude flows and pushed oil above $100 per barrel at times, a supply shock that translated quickly into higher U.S. pump prices.
- Analyses show the financial burden falls unevenly on rural, high-commute communities that strongly supported President Trump because they drive more and spend a larger share of income on fuel.
- The White House is preparing to press refiners and consider policy tools — including meetings with executives, possible RIN waivers, releases from the Strategic Petroleum Reserve and summertime fuel-rule relief — but decisions are still being finalized.
- Higher gasoline and much steeper diesel costs are adding upward pressure on inflation, straining household budgets and supply chains, and creating political risk for the administration as voters register growing economic pessimism.