Gas and diesel prices set to spike again, analysts warn

Consumers may face another spike in gas and diesel prices this week amid the escalated conflicts in the Middle East, which have strained global energy supply chains. On Thursday, the national average price of gas was $4.43 per gallon, according to AAA, and the average diesel price was $6.39 a gallon. Currently, California is paying the highest prices for gas and diesel in the country, at $6.08 and $8.34 a gallon, respectively. Fuel experts are warning that gas and diesel prices could climb even higher in the coming days, reaching unprecedented levels. GasBuddy analyst Patrick De Haan warned on Wednesday that gas and diesel prices could spike over the next 48 hours.“We may set a new 2026 high for average gas prices by the weekend,” he wrote on X. “Currently $4.371/gal and climbing, previous high $4.566/gal. diesel average at $6.315/gal and climbing, could hit $6.50/gal in the next 48 hours.” Tom Kloza, chief energy adviser for Gulf Oil, also wrote Wednesday on X that there could be “staggering increases at the pump for both gasoline & diesel” within the next 24 hours.Less than a week ago, diesel prices reached an all-time high of $6 per gallon. Higher diesel prices are expected to be felt by consumers not only at the pump but throughout the economy, as diesel is used to power trains, trucks, and other heavy machinery, including in the agricultural sector. Fuel prices have risen since the Iran conflict started in February. The war has resulted in a slowdown in shipments of fuel through the Strait of Hormuz, a key trading waterway, crimping global fuel supply. In recent weeks, there has been renewed strikes within the region, which have sent prices soaring. Last week, Saudi Arabia’s East-West Pipeline was struck by pro-Iranian militias, forcing the country to shut down the 745 mile-long pipeline. The pipeline allowed for several million barrels of oil to exit the Persian Gulf, bypassing the Strait of Hormuz trading route. The East-West Pipeline could carry up to 7 million barrels of crude daily. Andrew Lipow, a consultant who advises clients on protecting and repairing oil infrastructure, told the Washington Post that the photos of the pipeline “show significant amount of damage,” adding that it might take a month or two to repair. Meanwhile, Russia’s invasion of Ukraine has also driven up prices. Russian refineries have recently been damaged by Ukrainian drone strikes. To manage the fallout, Russia has halted exports of diesel until the end of October. Russia typically produces nearly one in 9 barrels of global diesel. President Donald Trump earlier this week claimed that Russia and Ukraine had agreed to halt attacks on key energy infrastructure. However, on Thursday, Ukraine struck Russia’s Yaroslavl oil refinery, which has the capacity of about 300,000 barrels per day. De Haan said the attack on the Yaroslavl oil refinery “will continue to prevent Russia from exporting diesel, perhaps beyond their current ban of October.” Still, Energy Secretary Chris Wright told Fox News on Wednesday that he expects diesel and gas prices to come down. When asked for a timeline, Wright said, “I certainly can’t predict Iranian behavior.” HOUSE PASSES BILL TO SHIELD HOUSEHOLDS FROM DATA CENTER ENERGY COSTS“We’ve risen the flow of oil out of the Persian Gulf to record highs right now. About 18 million barrels flowed out yesterday. Basically, pre-conflict levels,” he said. Wright noted that a bigger problem is refining, which he said has been impacted by the conflict between Russia and Ukraine. “We are still reeling from the Democrat-driven closure of refiners all across the United States,” Wright said. “We will fix that problem. But we can’t unwind the Democrat damage immediately.”