Kaltbaum Capital Management President Gary Kaltbaum discusses the pressure on chip makers and AI stocks, the economic impact of high oil and gas prices and monetary policy under Fed Chairman Jerome Powell on ‘Varney & Co.’
Gas prices are rising rapidly nationwide, putting further pressure on already strained household budgets conflict with Iran drives up global oil costs.
Prices are rising in almost every region, with some states already well above the national average.
On April 1, the national average for regular gasoline was $4.06 per gallon, an increase of $1.08 from a month earlier, according to AAA.
On the West Coast, drivers are seeing the highest costs, with prices as high as $5.89 per gallon in California and $5.35 in Washington.
TRUMP PROMISED LOWER COSTS; THE IRAN CONFLICT NOW THREATENS THAT PROMISE
On the east coast, gas prices approaching or exceeding $4.19 in Washington, DC, and $3.98 in New York in several areas.
In the Midwest, Illinois stands out at $4.25 per gallon, while much of the region remains around $3. The southern states remain cheaper overall, although prices are rising. Texas costs an average of $3.77 and South Carolina $3.90, while Florida ranks higher at $4.21.
At a gas station, a man is seen pumping gas into his truck. (M. Scott Brauer/Bloomberg via Getty Images)
Meanwhile, diesel is outpacing gasoline because of its link to trucking and industry, meaning increases could flow through supply chains and raise costs across the economy.
Diesel currently costs $5.49 per gallon, up $1.73 from a month ago, according to AAA, surpassing $5 for the first time since December 2022, as the war in Iran continues to disrupt the global economy. energy supplies.
BEFORE AND AFTER SATELLITE IMAGES PROVIDE A RARE VIEW OF DAMAGE WITHIN IRAN
Diesel is more closely linked to freight transport and industry and is rising faster than petrol, increasing the risk of higher costs across supply chains and the wider economy. (Rebecca Noble/Bloomberg/Getty Images)
“Gas prices may indeed fall, but they are highly unlikely to return to pre-war levels for months to come, partly due to the amount of time needed to rebuild global supplies,” wrote Patrick De Haan, head of petroleum analysis at GasBuddy.
De Haan said seasonal factors also work against drivers. Demand typically rises in the run-up to the summer months, while refinery maintenance and the switch to summer gasoline blends can further drive up prices.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
With the midterm elections approaching, rising energy and housing costs could pose a challenge for the president Donald Trumpwho has promised to make life more affordable for American families.
