Surprise increase in gas prices due to Trump’s actions in Iran causes turmoil in oil markets – and the situation may worsen

Gas prices at the pump are expected to rise a further five cents per gallon as the aftershock of US missile strikes in Iran continue to rock the stock market. 

National average gas prices rose five cents to $3.22 per gallon when Israel struck Iran’s nuclear facilities last week, and experts have warned they’re due to rise by a similar amount again as a result of Donald Trump’s intervention on Saturday night. 

Andy Lipow of Lipow Oil Associates told the Daily Mail that further retaliatory strikes from Iran could cause petrol prices in the US to rise to around $3.27 per gallon in the coming days. 

‘It usually takes about a week or two for the change in oil prices in the futures market to filter into the gasoline price at the pump,’ Lipow said on Sunday night. 

‘Early when the market opened we were seeing futures up about 10 cents a gallon, but it’s now only five cents a gallon, while diesel futures are up about 10 cents a gallon.

‘Over the next week we expect gasoline prices overall will continue to rise another five to six cents a gallon. 

Lipow added that ‘any retaliatory attacks could impact gas prices further’. 

GasBuddy expert Patrick De Haan also said on X that he expects gas prices to rise to a maximum of $3.50 per gallon, up from the current national average of $3.22.

Gas prices at the pump are expected to rise a further five cents per gallon as the aftershock of US missile strikes in Iran continue to rock the stock market. (Pictured: Fire and smoke rise into the sky after an Israeli attack on the Shahran oil depot on June 15, 2025 in Tehran)

GasBuddy expert Patrick De Haan said average diesel prices have ‘seen their biggest seven-day rise since August, 2023’, increasing by 17 cents per gallon

Gas prices in the US are rising due to the conflict in Iran (Pictured: A pump jack operates near a gas turbine power plant in the Permian Basin oil field outside of Odessa, Texas, in February)

He said the average diesel prices have ‘seen their biggest seven-day rise since August, 2023’, increasing by 17 cents per gallon. 

The situation could also dramatically worsen if Iran closes the Strait of Hormuz, the sea passage out of the Persian Gulf which acts as a conduit for at least 20 percent of the world’s oil supply. 

Iran’s Parliament voted on Sunday in favor of closing the narrow passage – but the move is yet to be approved by the country’s Supreme National Security Council. 

The final decision hangs in the balance, since closing the strait would also have devastating impacts for Iran’s own economy. 

Donald Trump entered the conflict between Israel and Iran on Saturday night by using American warplanes to target Iranian facilities in Fordo, Natanz and Isfahan. 

Known as Operation Midnight Hammer, the strike involved more than 125 US military aircraft, along with submarines. 

Iran has warned that there will be repercussions, and Trump hit back by saying that any retaliation would be met with ‘even greater force than what was unleashed today’. 

The Middle Eastern country launched more missiles on Tel Aviv in Israel on Sunday morning, and Iran’s Houthi allies in Yemen also said they would join the retaliation.

GasBuddy expert Patrick De Haan also said on X that he expects gas prices to rise to a maximum of $3.50 per gallon, up from the current national average of $3.22

There have already been hundreds of casualties. 

Iran’s health ministry said Israeli strikes killed at least 400 people and injured 3,000, while at least 24 people in Israel have died in missile strikes from Iran. 

The conflict escalated 10 days ago when Israeli Prime Minister Benjamin Netanyahu launched attacks on Iran’s nuclear and military strikes. 

Israel first warned people in Tehran’s District 18, which comprises military buildings and residential neighborhoods, to evacuate. Hours later, the first volley of strikes were reported in the area. 

Netanyahu said the attacks, called Operation Rising Lion, targeted Iran’s nuclear program. 

‘If not stopped, Iran could produce a nuclear weapon in a very short time,’ Netanyahu said. 

Iran’s Supreme Leader Ayatollah Ali Khamenei said Israel ‘should anticipate a severe punishment’, while its foreign minister called the strikes a ‘declaration of war’.