Gasoline prices in California have surged to $6.01 per gallon, marking a 30% increase since the U.S. and Israel initiated military action against Iran in late February.
The rise in fuel costs is attributed to ongoing disruptions in the Strait of Hormuz, a critical global oil export corridor that remains closed.
Data from AAA shows that California now holds the highest average gas price in the U.S., with the broader national market also experiencing a sharp upward trend in fuel prices.
The market reaction has been pronounced, with energy prices reflecting heightened supply concerns.
The Strait of Hormuz, which facilitates a significant portion of global oil exports, has remained a focal point for market participants due to its strategic importance.
The continued closure has led to increased volatility in energy markets, with traders factoring in the risk of prolonged supply bottlenecks.