NEW YORK (AP) — Already feeling pinched since the start of the Iran war, consumers are likely to feel more pain ahead as oil prices pushed past $100 a barrel Thursday amid renewed fighting and military strikes that have left global oil supplies stranded in the Middle East.
The elevated price marked a turn from lower oil prices enjoyed briefly when hostilities between the U.S. and Iran waned in June. Brent crude, the international standard, last reached $100 a barrel in May.
Companies that produce and sell fresh food, school supplies and anything that gets shipped using fuel reported cost impacts from an earlier spike in energy prices after the U.S. and Israel attacked Iran. They’re likely to continue passing some of their increased expenses to consumers.
“Since everything relies on petroleum in our economy, for good or ill, if the cost of petroleum goes up, then everything else goes up as well,” said Joe Adamski, a managing director at procurement services company ProcureAbility.
Here's how higher oil prices could put more strain on the finances of U.S. consumers.
Volatility along the Strait of Hormuz and broader regional instability pushed up the price of crude oil, the main ingredient in gasoline, and could continue to make driving costlier during the second half of summer, according to motor club AAA.
The U.S. price for regular gasoline averaged $4.09 a gallon Thursday, 15 cents more than a week ago, and drivers in most states were paying $4 or more, according to AAA.
“Given the typical lag along the oil industry’s supply chain, prices at the pump are poised to keep rising at least into next week,” said Pavel Molchanov, an investment strategy analyst at investment bank Raymond James.
Molchanov, noted that futures prices for oil delivered later this year and next year were lower, suggesting prices could fall once military action ends.
For the most part, higher gasoline prices haven't stopped Americans from driving. Gasoline demand rose 1% to 8.9 million barrels per day last week, according to the U.S. Energy Information Administration.
Grocery prices generally rise with oil because farmers use diesel fuel to power equipment, while many food products are transported by trucks that require fuel.
“Oil at $100 doesn’t make food prices jump right away, but it does put upward pressure across the food supply chains, especially for categories that depend heavily on trucking, cold storage and packaging,” said Miguel Gomez, a Cornell University professor who directs the school's Food Industry Management Program. Fresh produce and dairy could feel a larger impact because they require refrigeration during delivery.
Imported goods are also vulnerable to higher shipping costs, Gomez said. “Things like olive oil that we produce very little here and are coming from mostly from Europe are going to be up.”
Grocery chain Albertsons on Thursday lowered its 2026 fiscal outlook, citing pressure on its core grocery business and a pullback in consumer spending.
Higher fuel costs for ships, trucks and air carriers can trickle down to consumers and businesses that depend on shipping. UPS, FedEx and other shipping services introduced fuel surcharges and other fees as fuel prices increased.
According to an AFS Logistics and TD Cowen Freight Index released July 14, truckload pricing is at a four-year high because of rising fuel costs and capacity constraints.
Andy Dyer, CEO of AFS Logistics, said diesel prices in the second quarter were about 51% higher than in January and February, while jet fuel prices rose 90% from a year earlier.
“Beyond the direct impact of higher freight bills paid by shippers, these price movements also have second-order effects that squeeze rates higher,” he said. “Smaller truckload carriers working on tight margins may park trucks and wait for fuel prices to revert to more palatable levels before returning to operation.”
Rural lifestyle retailer Tractor Supply Co. reduced its annual sales outlook on Thursday, citing in part higher fuel prices during its spring selling season that weighed on customer spending.
”Our customers often drive longer distances to shop frequently in pickup trucks, many of which are diesel-powered, making them especially sensitive to higher fuel costs,” CEO Hal Lawton told analysts.
Lawton said customers are still investing in their pets, animals, farms and properties, but shopping has become “more deliberate.” Customers are consolidating trips, prioritizing needs-based purchases and taking a more measured approach to discretionary spending.
The Footwear Distributors and Retailers of America trade group warned in a report Wednesday that increasing freight and material costs, along with rising tariffs costs, were creating big challenges for the footwear industry as families prepare for back-to-school shopping and companies plan for the remainder of the year.
Matt Priest, CEO and president of the trade group, said some of its members have cited 25% price increases for petroleum-based materials used in footwear manufacturing due to the Middle East conflict. Those costs could eventually translate into roughly a 5% increase in the cost of finished footwear products sold to consumers, Priest said in the report.
Footwear companies have been front-loading inventory and accelerating imports before President Donald Trump imposes new tariffs on foreign products, putting additional pressure on shipping rates, he said.
“Container rates are spiking right now,” Priest said.
Since the war began, airlines have responded to the jump in fuel costs by raising fares and add-on fees, and trimming flights or routes that are no longer profitable at higher fuel prices. Those moves can help protect the airlines’ margins, but also leave travelers facing higher prices and fewer options, particularly in smaller or less competitive markets.
In the latest sign that the conflict is driving up costs for the travel industry, American Airlines on Thursday reported a sharp decline in second-quarter net income despite record revenue and strong spring travel demand.
American said higher fares helped offset nearly half of its higher fuel bill but not enough to prevent it from lowering its full-year outlook.
Despite higher prices, jet fuel demand in the last four weeks increased 9% compared to the same time last year, according to EIA.
Associated Press writers Rio Yamat in Las Vegas, Wyatte Grantham-Philips and Dee-Ann Durbin in Detroit contributed to this report.
FILE - Cars line up at the pumps of a Gulf Oil station on the Massachusetts Turnpike near Boston, Sunday, July 19, 2026. (AP Photo/Gene J. Puskar, File)
FILE - Cars line up at the pumps of a Gulf Oil station on the Massachusetts Turnpike near Boston, Sunday, July 19, 2026. (AP Photo/Gene J. Puskar, File)
MINNEAPOLIS (AP) — Friends and family of Minnesota Democratic lawmaker Melissa Hortman said the man sentenced Thursday to two life terms plus 40 years after pleading guilty to her murder failed to eliminate her legacy but caused enduring fear and fury as he changed their lives forever.
Fellow lawmakers and survivors of the shooting spoke Thursday at the sentencing hearing for Vance Boelter, the man who pleaded guilty last month to federal charges related to the killing of former House Speaker Hortman and her husband, Mark, as well as critically wounding state Sen. John Hoffman and his wife, Yvette.
Boelter, 59, agreed to plead guilty in June, almost a year after the Minneapolis-area attacks, so federal prosecutors would not seek the death penalty. Mark Hortman's father and siblings voiced anger that he could not be sentenced to death.
U.S. District Judge John R. Tunheim said it was “the longest sentence I have imposed after hearing thousands of cases over the years, but I do believe it is deserved.”
In court Thursday, Sen. Hoffman said he and his family are constantly reminded of the extraordinary violence of that night, even in the mundane details of day-to-day life. He said they don't receive mail at home anymore, they have installed solid steel doors for protection, and they have changed how they do everyday tasks because of their injuries.
“The defendant looked me in the eyes and pulled the trigger. The defendant looked at my wife and chose to do the same,” Hoffman said. “My wife and I now live with injuries. We live with our bodies remembering the gunfire.”
Yvette Hoffman said she has been too traumatized to work since the attack in their home, and that she sees a therapist weekly.
“I will never forget looking down and watching my blood slowly stream down that white washing machine as I felt myself sinking to the floor,” she said, barely holding back tears. “We always have an escape plan now. This isn’t how people should live.”
Boelter admitted in court last month that he spent months identifying and stalking his targets before driving to their homes disguised as a police officer with the intention of killing them. The killings sparked the largest police search in state history.
Democratic State Rep. Kristin Bahner was one of two other legislators whose homes Boelter visited that night, but she and her family were on vacation. Bahner said the shootings had left her shaken.
“I could not fathom why I was spared and (Hortman) was not,” she said. “You failed because I carry her with me. In my mind and in my heart, she guides me.”
Mark Hortman's parents and siblings spoke of their anger Thursday, both at the man who killed him and the justice system.
“It will not offer me peace of mind that he will have room and board provided for the rest of his life, paid for by my tax dollars,” said Lisa Hortman Bean, Mark's sister.
Melissa Hortman's mother and father and the Hortman's children changed the tone of the statements when they spoke, remembering them as attentive, loving parents and grandparents and people who had a positive impact on thousands of lives.
Sophie Hortman, their daughter, described in vivid detail having to say goodbye to Gilbert, the golden retriever, also shot by Boelter but who was still alive when they arrived at the veterinary hospital. She talked about the bedtime routine her mother had with Gilbert, who failed his service dog test because he was too friendly, and the care and love she gave him.
“I miss my mom. I miss my dad. I miss my best friends. And I miss believing in the goodness of humanity. I hope that one day these aches feel less sharp. And I know just like the love I feel for my parents, the pain will never go away,” she said through tears.
Colin Hortman talked about his parents not being at his recent wedding, about not dancing with his mother who he had hoped would make his wedding cake. He described the horror of the house and the panic attacks and crying that have persisted in the year since they were killed.
“My days are filled with gray, and the blood that was spilled is the last thing I see before I go to sleep and the first thing I see when I wake,” he said. “There is no sentence that weighs 15 gunshots, a murdered dog and the rest of my life.”
“It is impossible to realize the damage that has been done not only to our family, but to our society,” said Melissa's father Harold Haluptzok, who repeatedly referred to her as his “little girl.”
“I wish the perpetrator would have sat down and talked to Melissa about his political positions. ... if only he did that before he decided to kill them,” Haluptzok added.
Federal defender Manny Atwal spoke only briefly after the victim impact statements Thursday, saying Boelter showed remorse for his actions by pleading guilty and accepting the life sentences.
Boelter remained silent and sat extremely still for most of the hearing, showing little emotion or reaction to the anguish expressed by the survivors and family members.
“To every person I have caused loss, pain, heartache, confusion, sadness, shame or loneliness, I am truly sorry,” Boelter said.
Boelter went to Hortman's home, wearing a tactical uniform and mask, about 3:30 a.m. on June 14, 2025. He rang the doorbell while shouting he was a police officer doing a welfare check, according to court documents.
Mark Hortman answered the door. Boelter gave him a fake name and badge number before requesting he summon Melissa Hortman to the door as well. He shot Mark Hortman multiple times before pushing into the house and shooting the lawmaker as she fled upstairs. Melissa and Mark Hortman were killed.
Boelter had already visited the Hoffmans' home that night, shooting and critically injuring the senator and his wife, according to police and court documents. Court documents said Boelter also went to Bahner's house that night as well as the home of another lawmaker.
Boelter also faces state charges, including two counts of murder, four counts of attempted murder, impersonating a police officer and animal cruelty. Hoffman and his family filed a personal injury lawsuit against Boelter in April.
Hennepin County Attorney Mary Moriarty said in a statement Thursday that Boelter's state prosecution would move forward immediately noting a first appearance is scheduled for Aug. 3.
“The targeted political violence he committed was horrific,” Moriarty wrote. “My thoughts are with Melissa and Mark’s family, as well as John, Yvette, and Hope, as the state prosecution moves forward.”
This story has been corrected to show Boelter apologized for causing loss, pain, heartache, confusion, sadness, shame or loneliness, not for causing emotions.
Lauer reported from Philadelphia.
In this courtroom sketch, Minnesota state Sen. John Hoffman speaks at a sentencing hearing for Vance Boelter, seated at right, Thursday, July 23, 2026, in Minneapolis. (Cedric Hohnstadt via AP)
In this courtroom sketch, Hope Hoffman, daughter of Minnesota state Sen. John and Yvette Hoffman, speaks at a sentencing hearing for Vance Boelter, seated second from right, Thursday, July 23, 2026, in Minneapolis. (Cedric Hohnstadt via AP)
In this courtroom sketch, Vance Boelter, center, listens during his sentencing hearing on Thursday, July 23, 2026, in Minneapolis. (Cedric Hohnstadt via AP)
Colin Hortman (left), son of Mark and Melissa Hortman, walks into the lobby of the Diana E. Murphy United States Courthouse before a sentencing hearing for Vance Boelter in Minneapolis, on Thursday, July 23, 2026. (Alex Kormann/Minnesota Star Tribune via AP)
Members of the Hortman family come down the escalator into the lobby of the Diana E. Murphy United States Courthouse before a sentencing hearing for Vance Boelter in Minneapolis, on Thursday, July 23, 2026. (Alex Kormann/Minnesota Star Tribune via AP)
FILE - Members of law enforcement agencies investigate near a vehicle suspected to belong to shooting suspect, Vance Boelter, June 15, 2025, in Belle Plaine, Minn. (AP Photo/George Walker IV, File)
FILE - Bullet holes mark the front door of the house of Minnesota state Sen. John Hoffman and his wife who were shot earlier in the day on June 14, 2025, in Champlin, Minn. (AP Photo/Bruce Kluckhohn, File)
FILE - Armed FBI agents search for an active shooter, sweeping a neighborhood adjacent to the home of Minnesota DFL State Representative Melissa Hortman, in Brooklyn Park, Minn., June 14, 2025. (Alex Kormann/Star Tribune via AP, File)
FILE - Pictures of Mark and Melissa Hortman are set up inside the sanctuary at the Basilica of St. Mary's during funeral services for Mark and Melissa Hortman in Minneapolis, Saturday, June 28, 2025. (Alex Kormann/Star Tribune via AP, Pool, File)
FILE - This photo made available by the Ramsey County Sheriff's Office shows Vance Luther Boelter, the man charged with killing the top Democrat in the Minnesota House and her husband, and wounding a state senator and his wife, as he was arrested on June 15, 2025. (Ramsey County Sheriff's Office via AP, File)
