Fuel Prices Jump 27 Cents, Prompting White House Concern Over Supply
U. S. gasoline prices rose nearly 27 cents in a week to an average of $3. 25 a gallon, driving concern inside the White House as the US-Israel conflict with Iran threatens global oil flows. Thursday at 11: 22 a. m. ET — the jump has pushed fuel prices higher nationwide and left officials searching for ways to limit further increases.
Fuel Prices and White House Pressure Over Pump Costs
White House officials are facing direct pressure after the surge, with aides described as being “screamed at” to bring good news and one senior aide, Susie Wiles, reportedly hunting for ideas to lower gasoline prices. That internal strain follows the recent pump moves and underscores why the White House is engaged: consumers are already seeing higher costs at the station and officials are under political pressure to act.
Brent crude Tops $90 After Strait of Hormuz Disruption
Global markets reacted to military action and shipping disruptions: after U. S. -Israel strikes, Iran effectively shut down traffic through the Strait of Hormuz, the choke point where about 20% of the world’s oil and natural gas passes. After a U. S. announcement of insurance guarantees and naval escorts for tankers, oil prices eased from peaks but then pushed higher again when Brent crude passed $90 a barrel following a forceful public statement from the U. S. president that there would be “no deal with Iran except UNCONDITIONAL SURRENDER!”
EIA Forecast Shows U. S. Output Near Record, Limiting Shock
The U. S. production outlook provides a partial cushion: the U. S. is forecast to pump a near-record 13. 6 million barrels of crude oil per day in 2026, the U. S. Energy Information Administration, while Saudi Arabia is listed at 9. 87 million barrels per day by the International Energy Agency and Iran accounts for about 3% of global oil supplies. That scale of U. S. output is a key reason analysts say the country is somewhat insulated from shocks.
Retail pricing pressure is still expected to move higher: Patrick De Haan, head of petroleum analysis at Gas Buddy, says retail prices could rise another 20 to 25 cents a gallon if crude stays at current levels, which would push the nationwide pump average toward $3. 40. Those projected retail changes would be felt directly by consumers at the station and will factor into political and market responses in the coming days.
Economists warn of thresholds for broader damage. Joseph Brusuelas, chief economist for RSM, says U. S. oil prices would likely need to reach about $125 a barrel — roughly equivalent to $4. 25 a gallon at the pump — to materially hurt economic growth, estimating a potential 0. 8% drop in U. S. GDP and consumer inflation up to 4% at that level. He also noted the historical precedent: when prices last spiked enough to curb consumer spending in June 2022, U. S. gasoline averaged $5. 01 a gallon.
For now, markets and officials are watching how shipping security measures and production trends interact with demand. The move in Brent and disruptions at the Strait of Hormuz have already lifted pump costs, and fuel prices remain sensitive to any further deterioration in the region.
Clarity on how much protection U. S. production provides is expected when output trends toward the 2026 forecast; that shift in supply should give a clearer signal on price direction in 2026.
