Kenny Polcari, chief market strategist at SlateStone Wealth, discusses Wall Street’s oil dilemma on ‘Varney & Co.’
Gas prices edged higher on Friday as the conflict with Iran continued to roil global energy markets, pushing crude oil sharply higher and raising fuel supply concerns.
The national average price for regular gasoline rose to $3.32 per gallon on Friday, up from $3.25 Thursday and $2.98 a week ago. to AAA. Analysts say the increase reflects a rise in crude oil prices as geopolitical tensions rise in the Middle East.
U.S. crude settled at $90.90 a barrel on Friday, up 12.2% from the day before.
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A gas station attendant pumps diesel into a car at a gas station (Sean Gallup/Getty Images/Getty Images)
Oil markets have been tense since the US and Israel launched attacks on Iran on Saturday. Iran has since taken steps to block tanker traffic in the Strait of Hormuz, a crucial shipping route that handles about 20% of global oil flows, according to Reuters.
Lipow said the disruption has prevented tankers from loading in Iraq, Kuwait and Saudi Arabia, forcing some production halts.
Missile attacks have also hampered refinery operations in Israel, Bahrain and Saudi Arabia, tightening global gasoline and diesel supplies. Additional pressure comes from China, which, according to Lipow, limits the export of refined petroleum products.
“All of this will lead to higher gas prices, and the national average will likely reach $3.50 per gallon [very] Soon,” Lipow said.
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Vehicles drive on a highway (Jonas Walzberg/Photo Alliance via Getty Images/Getty Images)
Flynn noted that while prices have risen rapidly, the spike has not yet reached the levels seen during previous geopolitical crises.
“I’m hopeful that we’ll see the peak of gasoline production next week,” Flynn said. “The reason I say that is because I have a lot of confidence in the US military and Israel, and I really think Iran is on its last legs right now.”
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A Navy ship sails in the Strait of Hormuz, a vital waterway through which much of the world’s oil and gas production passes on March 1, 2026. (Sahar Al Attar/AFP via Getty Images/Getty Images)
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President Donald Trump told Reuters on Thursday that he was not concerned about the rise in prices.
“I’m not worried about it,” Trump told Reuters. “They will drop very quickly when this is over, and if they rise, they will rise, but this is much more important than gasoline prices rising a little bit.”
