US Gas Prices Hit Record High Over $4 per Gallon Amid Iran Conflict
Gas prices in the United States have surpassed $4 per gallon for the first time ever after August 12, according to Patrick De Haan, head of petroleum analysis at GasBuddy. The national average price has been affected by the ongoing US conflict with Iran, which has disrupted oil shipments through the Strait of Hormuz.
The strait is a critical waterway through which about 20% of the world's oil passes. Despite a brief dip in gas prices earlier this week, analysts remain cautious due to the global oil market remaining tight and refining capacity being significantly reduced.
A stable agreement between Iran and Oman could ease pressure on oil prices, but negotiations have been tense with both sides presenting demands. If a deal is not reached soon, US drivers may face record-high prices for the Labor Day weekend.