JPMorgan has issued a stark warning: gasoline prices could reach $5 per gallon as a direct result of the ongoing war with Iran. The conflict, initiated by the U.S. and Israel, has forced the closure of the Strait of Hormuz-a chokepoint for 20% of the world's oil supplies.
Despite a ceasefire announced in April 2026, oil transit through the Strait remains severely restricted. Analysts call this the largest oil supply disruption in history, with continued attacks on energy infrastructure compounding the crisis. Global reliance on limited spare capacity from Gulf producers is adding further upward pressure on prices.