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Home - CBSNews.com | The Iran war's economic hit could linger through 2026, economists say
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In the eight weeks since the Iran war began, the conflict has pushed U.S. gasoline prices above $4 a gallon, driven Brent crude up 44% to $105 a barrel, and lifted inflation to its highest level in nearly two years, prompting economists to warn of lingering economic damage. Disruption of oil flow through the Strait of Hormuz has raised energy costs, which are expected to stay above pre‑war levels throughout 2026, dampening consumer purchasing power, inflating grocery and travel expenses, and potentially trimming U.S. GDP growth by about 0.3 percentage points this year. While higher‑income households have kept spending resilient, broader economic headwinds—rising energy prices, AI‑related job cuts, and ongoing tariff uncertainty—are likely to keep inflation elevated and strain the broader economy for months to come.
Read more: https://www.cbsnews.com/news/iran-war-economic-impact-gas-prices-inflation-2026/
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