Petrol prices climb as US–Iran tensions disrupt markets

What the report says

Al Jazeera, citing Reuters and market data, reported on July 20, 2026, that US petrol prices and global oil benchmarks rose as tensions between the United States and Iran intensified and Yemen’s Houthis announced a naval blockade targeting Saudi Arabia. The average US petrol price climbed above $4.00 per gallon, compared with $3.87 a week earlier, according to the American Automobile Association, marking a second straight weekly increase for drivers.

Oil markets also moved higher before easing slightly. Brent crude reached $91.42 on Sunday and later fell to $88.04 on Monday, while US West Texas Intermediate hit $85.39, its highest level since June 12, before slipping to $82.29. Al Jazeera reported that renewed fighting after the collapse of a US-Iran ceasefire raised concern about tanker movement through the Strait of Hormuz, a critical oil transit route that carried about one-fifth of global oil supply before the war.

Shipping data cited in the report indicated a sharp slowdown in vessel traffic through the strait between July 17 and 19. The article also said Greek operator Dynacom Tankers reported that two projectiles struck two of its vessels near the Omani coast, without identifying who was responsible. The report linked market anxiety to threats against energy and shipping infrastructure, including pressure on Houthi forces to disrupt Red Sea routes if US attacks on Iranian energy facilities continue.

The price rise matters because higher fuel costs can quickly affect household budgets and inflation expectations. Al Jazeera noted that the latest increase followed recent US inflation data showing a monthly decline partly driven by an earlier drop in petrol prices, a reprieve that may now be undermined by renewed Middle East instability.