U.S. Gas Prices Climb Further as Effects of Iran War Reverberate
The New York Times • • general
Key Points:
- Brent crude oil prices surged 4 percent to around $109 a barrel for July delivery, up significantly from about $72 a barrel before the war began, reflecting ongoing supply concerns.
- U.S. West Texas Intermediate crude also rose over 4 percent, trading above $104 a barrel for June delivery amid disruptions in the Strait of Hormuz, a critical oil shipping route.
- Gasoline prices in the U.S. hit a new high of $4.23 per gallon, increasing driver costs by 42 percent since the war started, while diesel prices rose 50 percent to $5.64 per gallon.
- The S&P 500 saw a slight decline but remained near record highs, supported by strong earnings, whereas European stocks experienced modest losses with the Stoxx 600 falling by about 0.3 percent.
- Rising fuel costs are straining household budgets, especially for lower-income consumers, with limited capacity to offset expenses through credit; however, historically high savings and larger tax refunds may provide some financial relief.
