An article summarized by Fox Business:
Gas prices are heading into the summer driving season at record levels, with the national average reaching $4.45 per gallon as of May 2nd, the highest ever for this time of year. That’s more than $1 higher than a year ago, with increases seen across nearly every region. The surge highlights how the typical seasonal rise in prices is starting from an already elevated baseline, putting added pressure on consumers.
A major driver behind the spike is instability in global oil markets, particularly due to escalating tensions involving Iran, which have disrupted supply and pushed crude prices higher. This uncertainty, especially around key shipping routes like the Strait of Hormuz, has made fuel markets more volatile and contributed to rising costs nationwide.
Prices vary significantly by region, with the West Coast seeing the highest levels, including over $6 per gallon in California, while much of the country sits in the $4 range. Meanwhile, diesel prices have climbed even more sharply, exceeding $5.60 per gallon. Because diesel is critical for shipping and transportation, its rise is likely to increase the cost of goods across the economy, adding to broader inflationary pressures.
