With the Iran war in its fifth week, consumers are getting hit hard by surging energy costs. Now, some lawmakers are warning of the potential for price gouging, even as experts point to extreme supply shocks.
Traffic through the Strait of Hormuz, a critical maritime shipping route for global oil supplies, remains effectively at a standstill, causing the biggest oil supply disruption in history.
Oil prices have soared more than 40% since the start of the U.S.-Iran war on Feb. 28, triggering price spikes for gas and jet fuel.
Brent crude, the global benchmark for oil, topped $112 a barrel on Friday before retreating. As of Tuesday morning, it was trading at about $103. Gasoline, which is refined from crude oil, reached a nationwide average of $3.98 a gallon as of Tuesday, up about 35% from a month ago, according to AAA.
Jet fuel prices are up about 106% versus a month ago, according to the International Air Transport Association, which measured data for the week ended March 20. Already, some airlines said they will increase fares or tack on fuel surcharges to tickets.
