Violence in the Strait of Hormuz continues as Iran attacked tanker ships on July 7. These attacks highlight how, despite a ceasefire agreement, the conflict between the U.S. and Iran is still ongoing and impacting global crude oil supplies.

Diesel and gas prices continued to drop this week, but the decreases were smaller than in previous weeks. Gas prices in the Gulf Coast area rose slightly for the first time in weeks. Despite recent price decreases, national on-highway diesel pump prices remain more than 80 cents per gallon higher than a year ago.

Experts still predict fuel prices will continue to decline this summer, but this depends on peace between the U.S. and Iran. With President Trump making threats about winning the war “one way or the other” and Iran’s continued violence, it’s unclear how successful peace talks will be.

The national average on-highway diesel price dropped 9 cents to $4.578 per gallon, according to data released by the U.S. Energy Information Administration (EIA) on July 7. Gas prices dropped 5 cents to $3.777. A year ago this week, on-highway national diesel prices were 84 cents less; gasoline pump prices were lower by 65 cents per gallon.

What are the current diesel prices across the U.S?

Here are this week’s diesel price highlights from each region of the U.S.:

• Midwest: The biggest drop in diesel prices this week occurred in the Midwest, by 13 cents to $4.458.
• Rocky Mountain: In the Rockies, diesel prices dropped 12 cents to $4.484.
• West Coast: Along the West Coast, diesel prices dropped 10 cents to $5.425. Without including California, diesel prices dropped 10 cents to $4.864.
• East Coast: Along the East Coast, diesel prices dropped 6 cents to $4.694.
• Gulf Coast: Along the Gulf Coast, diesel prices dropped 6 cents to $4.225.

According to AAA Motor Club (AAA), the current national diesel price average is $4.765. This is 19 cents higher than EIA’s current estimate and $1.009 higher than this time last year.

What are the current gasoline prices across the U.S.?

The current national average on-highway gasoline price is $3.777, according to EIA, 7 cents lower than last week’s average. 

Here are this week’s gasoline price highlights from each region of the U.S.:

• Midwest: The biggest drop in gasoline prices this week occurred in the Midwest for 9 cents to $3.531.
• West Coast: Along the West Coast, gas prices dropped 9 cents to $4.831. Without including California, gas prices dropped 11 cents to $4.422.
• Rocky Mountain: In the Rockies, gas prices dropped 5 cents to $3.661.
• East Coast: Along the East Coast, gas prices dropped 4 cents to $3.700.
• Gulf Coast: Along the Gulf Coast, gas prices rose 2 cents to $3.343.

According to AAA, the current national gasoline price average is $3.790. This is 1 cent higher than EIA’s current estimate and 65 cents higher than this time last year. 

In a recent press release, AAA said, “Crude oil prices have fallen to their lowest levels in months, dropping to the $60 a barrel range. Overall, gas prices remain the highest they’ve been in four years, but the downward trend since late May is welcome news during the busy summer driving season.”