US gas prices hit $4 a gallon again as US and Iran escalate attacks
By Aboki Forex —
U.S. gas prices jumped to an average of $4 a gallon again on Monday as the United States and Iran launched more attacks. The national average for a gallon of regular gasoline is now back to $4, according to the motor club federation AAA.
The average price a year ago was $3.14 a gallon. That means American drivers are paying nearly a dollar more per gallon than they were at this time last year.
State by state differences
The $4 figure is a national average. Drivers in some states have been paying well over $4 a gallon for a while now, while others pay less. Prices vary between states due to factors ranging from nearby supply to differing tax rates.
People around the world are also dealing with high gas prices as a result of the ongoing war.
Oil prices climb as war fears return
Gas prices first went over $4 a gallon on average at the end of March. They dipped below that in mid-June and continued to fall as crude oil prices eased when the U.S. and Iran reached an interim deal. Even then, President Donald Trump expressed frustration that gas prices were not falling as quickly as oil prices.
Oil prices have climbed again in recent days as the U.S. and Iran move closer to resuming an all-out war. Brent crude, the international standard, rose 3.2% to $90.95 per barrel on Monday. Benchmark U.S. crude climbed 2.8% to $84.04 per barrel.
What this means for voters and the economy
Affordability is likely to be a key issue for voters in the U.S. midterm elections. Higher gas and oil prices can help push up prices for groceries and other goods.
For Nigerian businesses and consumers, rising global oil prices typically mean higher petrol costs at home, since Nigeria imports refined fuel. If crude stays above $90, expect pump prices in Nigeria to face upward pressure, adding to the cost of transport and food.