Gas Prices Rise Again as Iran Ceasefire Uncertainty Pushes Crude Higher

Gas prices are climbing again after weeks of steady declines, as renewed uncertainty over the ceasefire between the United States and Iran pushes crude oil higher. AAA’s national average for a gallon of regular gasoline rose 5 cents overnight to $3.846 on July 9, 2026, snapping a slide that had brought prices down from a spring peak.

The increase is small so far, but it marks a clear reversal after prices had fallen steadily from late May onward. Drivers who had started to see relief at the pump are now watching crude markets again, as the same geopolitical trigger that sent gas prices to a four-year high earlier this year has not fully resolved.

Where Prices Stand Right Now

Today’s national average of $3.846 compares with $3.838 a week ago, nearly flat, but it is a sharp drop from $4.161 a month ago and up from $3.163 a year ago. The current price also sits well below the spring peak of $4.56 a gallon, which AAA recorded on May 21, 2026, at the height of tension between the US and Iran.

State-by-state, the gap between the cheapest and most expensive gas in the country remains wide. Hawaii tops the list at $5.46 a gallon, followed by California at $5.38, Washington at $4.99, Alaska at $4.69, Nevada at $4.55 and Oregon at $4.53. New York, Illinois and Washington, DC all sit at roughly $4.05, with Idaho close behind at $3.99.

On the other end, Indiana has the cheapest gas in the country at $3.21 a gallon, followed by Oklahoma at $3.40, Texas at $3.41, Mississippi at $3.43 and Kentucky at $3.45. Tennessee, Louisiana, Arkansas, Kansas and Iowa round out the 10 least expensive states, all clustered between $3.46 and $3.48.

What Is Driving Crude Oil Back Up

Gasoline prices track crude oil closely, and crude has been reacting to fresh doubt over whether the ceasefire between the US and Iran will hold. West Texas Intermediate crude rose $3.08 to close at $73.52 a barrel on Wednesday, and traders are watching the Strait of Hormuz closely, as renewed conflict there could disrupt tanker traffic through one of the world’s most important oil shipping routes.

The Energy Information Administration’s latest weekly data adds another layer of detail. Gasoline demand fell from 9.13 million barrels a day to 8.84 million barrels a day, and total domestic gasoline supply dropped from 214 million barrels to 212.1 million. Gasoline production also slowed slightly, averaging 9.7 million barrels a day for the week. Crude oil inventories, meanwhile, rose by 3 million barrels, but at 411.4 million barrels, US crude stocks remain about 6% below the five-year average for this time of year, a gap that leaves less cushion if supply gets disrupted again.

How This Fits the Year’s Bigger Pattern

2026 has already been a volatile year at the pump. Prices spiked to $4.56 in May as the conflict between the US and Iran intensified and the Strait of Hormuz effectively closed to tanker traffic, a jump of roughly 50% from where prices sat before hostilities began. Prices then eased through June as a ceasefire took hold and shipping through the strait resumed, giving drivers several weeks of falling costs at the pump.

The latest 5-cent overnight increase suggests that relief could be temporary. Gas prices respond quickly to headlines about the ceasefire’s stability, so drivers should expect prices to keep moving in both directions until the underlying diplomatic situation settles one way or another.

EV Charging Costs Moved Too

Electric vehicle owners are not immune to the same market pressures. The national average cost of public EV charging rose by a cent this past week to 42 cents per kilowatt-hour. West Virginia has the most expensive public charging in the country at 53 cents per kilowatt-hour, followed by Hawaii at 51 cents and Alaska at 49 cents. Kansas offers the cheapest public charging nationally at 30 cents per kilowatt-hour, with Missouri and Iowa close behind at 32 and 33 cents.

What Drivers Can Do

Drivers planning a road trip this summer can check current gas and EV charging prices along their specific route using AAA’s TripTik Travel Planner, which updates with real-time state and regional averages. Filling up before a long drive into a higher-priced state, such as crossing from Indiana into a neighboring market, can meaningfully change the total cost of a trip given how wide the state-to-state gap remains.

Prices are reacting to a geopolitical situation that remains unresolved, so drivers should treat any week-to-week movement as part of an ongoing pattern rather than a permanent shift in either direction. AAA updates its state and national averages daily at gasprices.aaa.com, giving drivers the most current figures before they fill up.

Why the Strait of Hormuz Affects a Driver in Iowa

It can be hard to connect a shipping lane thousands of miles away to the price posted on a corner gas station sign, but the link is direct. Roughly a fifth of the world’s oil supply moves through the Strait of Hormuz on its way from Middle East producers to refineries around the globe. When tanker traffic through the strait slows or stops, as it did earlier this year at the height of the US-Iran conflict, the reduced supply pushes crude prices higher everywhere, including in oil that never physically passes through that stretch of water. Crude is priced on a global market rather than a series of regional ones.

That global pricing is why a driver filling up in Indiana, more than 7,000 miles from the strait, still felt the spring spike to $4.56 a gallon and is now watching the same headlines push prices back up again. Refineries buy crude on that same global market regardless of where their gas stations are located, and the cost gets passed down to the pump within days or weeks of a shift in crude prices. A resolved ceasefire would likely bring prices down again, while a collapse of the truce could send them climbing back toward the spring peak.

Sources:

• AAA: Gas Prices Reverse Course and Start Rising Again
• US Energy Information Administration: Gasoline and Diesel Fuel Update
• AAA State Gas Price Averages