Commodities
Iran War Drives Up Global Oil Prices to Six-Month High
The ongoing war in Iran has driven up global oil and gas prices, according to recent data. As of August 26, the average gallon of regular gas cost $4.10, a significant increase from $3.19 at this time last year.
Disruptions to the oil supply chain at the Strait of Hormuz persist as Iran and the US continue to grapple over its control. The Strait is a crucial waterway that connects the Persian Gulf with the Gulf of Oman and the Arabian Sea, accounting for about 20% of the world's oil shipments.
US Vice President JD Vance announced on August 20 that the US would move into a new phase of the war, ramping up economic pressure. In response to this development, Iran has resumed attacks on ships in the Strait, further exacerbating the situation.