Gas prices jump to their highest level since start of Iran war

MoneyWatch Gas prices jump to their highest level since start of Iran war .chip { background-image: url('/fly/bundles/cbsnewscore/images/chip-bgd/chip-bgd-moneywatch.jpg'); } By Mary Cunningham Mary Cunningham Reporter, MoneyWatch Mary Cunningham is a reporter for CBS MoneyWatch. She previously worked at "60 Minutes," CBSNews.com and CBS News 24/7 as part of the CBS News Associate Program. Read Full Bio Mary Cunningham Updated on: April 28, 2026 / 12:50 PM EDT / CBS News Add CBS News on Google The average cost for a gallon of gasoline hit $4.18 on Tuesday, according to AAA, the highest level since the war in the Middle East began.Gasoline prices, which have risen by $1.20 a gallon since the war started on Feb. 28, climbed nearly 7 cents overnight, according to AAA.The latest increase follows a brief period of relief, when prices eased after hitting a recent high of $4.17 on April 9 as the U.S. and Iran appeared to be making progress toward a deal to end the war. The countries agreed to a two-week ceasefire on April 8, which President Trump has since extended. However, negotiations appear to have lost momentum in recent days, dashing hopes for a quick resolution to the war and sending oil prices higher.  Oil accounts for 51% of the cost of a gallon of gas, making it the biggest determinant of what Americans pay at the pump. As of Tuesday morning, Brent, the international benchmark, was hovering around $111 a barrel, while West Texas Intermediate, the U.S. benchmark, was just below $100 a barrel."The Strait [of Hormuz] is not reopened — there's no cohesive plan for reopening it — and now negotiations have been basically stopped," said Patrick De Haan, a petroleum expert at GasBuddy. "So oil's been slowly recapturing some of what it gave up after the ceasefire was announced."White House press secretary Karoline Leavitt told reporters on Monday that President Trump met with his national security team to discuss a proposal from Iran that w...