00:00The Iran war is now hitting every American directly in the wallet.
00:03And economists say it could get worse before it gets better.
00:07The closure of the Strait of Hormuz since March
00:09has created the most significant global oil supply disruption in decades,
00:15cutting off roughly 20% of the world's oil transit route.
00:18Gas prices across the United States have risen sharply since the war began in February,
00:23with the national average now hitting levels not seen since the energy crisis years.
00:28The average American household is now spending an estimated $40 more per month
00:34on gasoline alone compared to pre-war prices.
00:37Airlines, trucking companies, and food distributors
00:40are all passing fuel surcharges directly onto consumers,
00:43which means prices for groceries, shipping, and airfare are all rising alongside gas.
00:49The peace negotiations underway right now in Islamabad and Geneva
00:53have one immediate economic consequence if successful.
00:56Oil prices are expected to fall sharply the moment the Strait of Hormuz reopens.
01:02For now, economists say Americans should expect high energy prices to persist
01:07until a deal is finalized, and possibly beyond.
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