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2 similar reports mergedU.S. national average gasoline price rises back above $4 per gallon amid Middle East conflict
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On July 20, 2026, the U.S. national average gasoline price rose above $4 per gallon for the first time since a previous surge, reaching $4.0030 according to AAA. The increase follows a 16% jump in crude oil prices over the prior week, driven by renewed hostilities in the Middle East, including Iranian attacks on vessels in the Strait of Hormuz, U.S. strikes against Iran, and Iranian missile attacks on U.S. bases in Kuwait, Jordan, and Bahrain. The Strait of Hormuz, a critical oil chokepoint, was effectively closed again after a brief reopening in late June. GasBuddy analyst Patrick De Haan noted that the eight-week decline in gas prices had ended, with diesel also rising above $5 per gallon. The price spike reflects a war premium as markets react to escalating conflict and supply disruption risks.
Source report
Charles Kennedy Mon, July 20, 2026 at 7:15 AM PDT | 2 min read
- CL=F +0.24%
The national average price of gasoline in the United States topped $4 per gallon once again on Monday, following a crude oil price rally driven by renewed hostilities in the Middle East and the fresh de facto closure of the Strait of Hormuz.
As of July 20, the national average price for a gallon of regular gasoline stood at $4.0030, according to AAA data.
Prices have risen from $3.8720 per gallon on Monday last week, after a week of re-escalation in the Middle East that included:
- Iranian attacks on vessels in the Strait of Hormuz
- Nine consecutive nights of U.S. strikes against Iran
- Iranian missiles targeting U.S. bases and military assets in regional allies, including Kuwait, Jordan, and Bahrain
At this time last year, the average price of gasoline in the United States was $3.1410.
The war in Iran has driven fuel prices higher globally, including in the United States. After a brief respite in late June, when the Strait of Hormuz was tentatively open to traffic and millions of barrels of crude exited the Persian Gulf, oil and fuel prices began rising again in mid-July as the chokepoint was closed and markets returned to pricing in a war premium.
Last week alone, oil prices jumped by 16%. As the largest component in gasoline price formation, this surge was expected to translate into higher U.S. gasoline prices.
Last week, Patrick De Haan, head of petroleum analysis at GasBuddy, stated: "I now expect the national average price of gasoline to reach $4 per gallon in the next 7-10 days, if not sooner."
On Sunday, De Haan noted that gas prices had declined for eight straight weeks after surging to $4.57 per gallon, "but that decline ended last week and tomorrow will see the 2nd straight week of increase—the average price of gasoline will soon again hit $4, while diesel has again risen above $5/gal."
By Charles Kennedy for Oilprice.com
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Source
Yahoo FinanceWestern
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U.S.-Iran Strait of Hormuz Conflict Resumes, Gas Prices Surge Past $4