August Gas Prices May Soar Past Record Levels

Patrick De Haan, head of petroleum analysis at GasBuddy, warns that gas prices in the United States are expected to surge even higher. According to De Haan, Americans will see record-breaking gas prices for August, surpassing those set in 2022. The current national average for a gallon of gas is over $4, representing a significant increase of more than 30% since the onset of the conflict with Iran.

The renewed tensions between the U.S. and Iran have driven energy prices higher, with crude oil prices climbing above $80 per barrel. Other geopolitical factors, including Ukrainian attacks on Russian oil refineries, are also contributing to the price hike. De Haan notes that while gas prices tend to decline in the fall, the current situation remains unpredictable.

The federal government is taking steps to mitigate the impact on consumers, including the release of oil from the U.S. Strategic Petroleum Reserve and implementing fuel tax holidays in some states. However, these measures may not provide immediate relief, as De Haan warns that gas prices could reach $4.50 or even $5 per gallon if conditions worsen.