Gas Prices Trend Higher Amid Geopolitical Tensions

(Undated) — Average gasoline prices continue to drift higher as crude oil trades near its highest level since last summer. According to GasBuddy Head of Petroleum Analysis, Patrick De Haan, the increase is driven by mounting geopolitical risk premiums tied to escalating tensions between the United States and Iran. He says while there has been no direct disruption to energy infrastructure, markets are increasingly pricing in the possibility of a broader exchange that could threaten supply flows. De Haan says beyond geopolitics, we’re also seeing localized supply constraints, including refinery outages and disruptions along the Olympic Pipeline, which have amplified price pressures in the Pacific Northwest. He says these developments are unlikely to be isolated, as planned refinery maintenance is set to intensify in the weeks ahead. De Haan says as seasonal supply tightens, the national average is increasingly likely to retest the $3-per-gallon threshold.