US gas tops $4 a gallon again as Iran war drives diesel above $5
Why it matters: Higher diesel costs are spreading beyond drivers, raising freight and airline surcharges and threatening broader inflation.
U.S. fuel costs climbed sharply this week as renewed fighting tied to Iran choked energy shipping and tightened already strained refining markets. AAA data showed the national average gasoline price at about $4 a gallon on Monday, up from roughly $3.87 a week earlier, while diesel rose to about $5.11 to $5.13 a gallon, the highest weekly jump since the war’s opening phase in March. Brent crude traded above $90 a barrel. The squeeze comes as U.S. refineries run near full capacity and summer travel keeps demand high. Economists warn diesel matters most because it powers trucking, farming and freight, pushing higher transport costs into groceries, consumer goods and construction.