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U.S. Resumes Strikes Against Iran as Oil Jumps and Pump Prices Risk Rising

The escalation has driven U.S. crude about 6.5% higher and threatens to reverse recent relief at the pump by pushing the national average toward $4 a gallon.

Overview

  • U.S. forces renewed strikes on Iran this week after exchanges in the Strait of Hormuz, a move that officials and reports say ended the temporary ceasefire.
  • Markets reacted quickly with U.S. crude climbing roughly 6.5% to about $75 per barrel after the latest escalation.
  • The national average for regular gasoline is about $3.80 a gallon now, but analysts warn renewed tension could push that average toward $4 in the coming days.
  • California drivers already face far higher pump costs, with state and Los Angeles County averages near $5.38 and $5.40 per gallon respectively, underscoring wide regional variation.
  • Consumers and advisers are responding with tools and tactics such as ABC News’s gas-cost calculator, budget resets, comparison apps and fuel rewards while experts warn high volatility makes short-term price direction unpredictable and broader supply disruptions could raise costs for shipping and groceries.