NEWTON, Mass. — Strikes in Iran are already sending ripples through global energy markets, raising concerns that American drivers may soon feel the impact at the gas pump.
Oil prices surged and stock markets slipped following the attacks, according to reporting from the Associated Press, though analysts note the reaction has been somewhat muted because traders had anticipated the escalation and adjusted their risk models accordingly.
Boston 25 News reporter Ryan Breslin spoke with GasBuddy analyst Patrick De Haan, who says the national average for gasoline is likely to climb back above $3 per gallon for the first time this year.
De Haan explained that while crude oil prices are rising, the increases are not as dramatic as the spike that followed Russia’s invasion of Ukraine.
Still, he warned that many drivers should expect noticeable “sticker shock” as prices begin to inch upward. He added that Iran’s unpredictable response to recent U.S. strikes is fueling uncertainty in the oil market, and that uncertainty is a major factor pushing prices higher.
The Associated Press reports that the market impact has been softened somewhat because traders had already priced in the likelihood of retaliatory action. Even so, analysts say the situation remains fluid, and the direction of oil prices will depend heavily on how tensions evolve in the coming days.
For Massachusetts drivers, the current average price for a gallon of gas is $2.91, according to AAA.
If crude oil continues its upward trend, local prices could follow, leaving motorists paying more as geopolitical tensions continue to unfold.
This is a developing story. Check back for updates as more information becomes available.
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