Gas prices hit $4 again after oil soars more than 15% in a week

Key Points:

• The national average price for regular gasoline reached $4 per gallon on Monday, the first time since June 17, driven by renewed conflicts involving Iran and the Ukraine-Russia war impacting energy markets.
• U.S. crude oil settled at $82.49 and Brent crude at $88.10 on Friday, with prices rising over 20% in the past two weeks due to escalating tensions in the Strait of Hormuz and U.S. sanctions on Iranian oil.
• The U.S. revoked a sanctions waiver on Iranian oil on July 7, followed by President Trump's announcements ending the ceasefire and reinstating a blockade in the Strait of Hormuz, contributing to market uncertainty and increased oil prices.
• Ship traffic through the Strait of Hormuz has sharply declined, with only eight ships crossing on a recent day compared to an average of 130 daily before the conflict, as Iran seeks control over navigation and transit fees.
• The Russia-Ukraine war is exacerbating supply issues, with Russia banning key refined product exports and facing reduced refining capacity, leading to higher global demand and prices for diesel and jet fuel, which has risen nearly 43% since before the Iran conflict.