US gasoline prices have climbed back over the $4-a-gallon mark, with the national average for regular grade gasoline reaching $4.003 on Monday. This marks the first time in over a month that prices have crossed this threshold and represents the second consecutive week of increased costs for consumers. While this is a national average, drivers in some states have already been paying well over $4 a gallon for some time.
The price increase is driven by escalating conflict in the Middle East, specifically renewed fighting and attacks between the U.S. and Iran, as well as Ukraine-Russia attacks. These events have rattled energy markets, causing Brent crude to jump 3.2% to $90.95 a barrel. This volatility threatens to exacerbate a global crunch for transportation fuels and stoke inflation.
The current prices are a significant increase from the $3.14 average seen a year ago. Only a month ago, drivers had experienced relief at the pump following a deal signed by the U.S. and Iran intended to reopen the Strait of Hormuz, but those gains have been reversed as tensions rise.