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During the academic year, Southeast Missouri State University's student-led publication, the Arrow, contributes campus news for KRCU's digital and broadcast audience.

Gas Price Increases Linked to Iran Conflict Affect Cape Community

Gas prices at a gas station in Cape Girardeau as of March 2026. Photo by Augast Haddad
Gas prices at a gas station in Cape Girardeau as of March 2026. Photo by Augast Haddad

As tensions escalate in Iran and global oil markets react, gas prices across the United States have surged to their highest levels in months. According to SEMO students, they are feeling the strain in their daily routines, budgets, and work schedules.

The conflict has intensified concerns about the stability of the Strait of Hormuz, a critical passageway that typically carries about 20 million barrels of oil per day, or roughly one‑fifth of global consumption, according to CNBC’s Lee Ying Shang. Following U.S. and Israeli strikes on Iran, oil shipments through the strait were effectively halted, creating a significant disruption in global supply.

It is noted that even the possibility of prolonged instability has driven sharp volatility in oil markets, with prices surging from around $70 to as high as $119 per barrel before settling below $100. This market instability has already begun to appear at U.S. gas stations, where average prices rose nearly 50 cents in a single week.

According to the U.S. Energy Information Administration, national average gas prices have risen sharply in recent weeks, driven in part by geopolitical tensions and rising oil costs. Missouri, while still among the cheaper states for fuel, has seen noticeable increases since the conflict intensified.

For SEMO students, the rising cost of fuel is more than an inconvenience. It is a financial pressure point.

Freshman, Aviation Major Luke Dewitt said that he has had to work more to keep up with rising prices.

“I’ve been picking up extra DoorDash runs just to keep up with gas lately,” said Dewitt. “With prices climbing because of everything happening with Iran, every trip costs more than it used to. I’m managing, but it definitely means more time on the road and less time to slow down and focus on the things I used to have more time for. Honestly, kind of outrageous.”

Dewitt’s experience reflects a broader trend. For students who commute from Jackson, Scott City, or other surrounding towns, the gas price increase adds up quickly. A 20-mile round-trip commute that once cost only a few dollars more per week can now take a noticeable bite out of a student’s budget, especially for those balancing tuition, rent, and part-time work.

The impact extends beyond the gas pump. Rising fuel costs often lead to higher prices for groceries, restaurant supplies, and shipped goods. Economists note that transportation costs are a major driver of consumer price increases, especially for food and retail items that rely heavily on trucking and distribution networks, according to the Bureau of Labor Statistics. Students may see slightly higher totals at checkout lines, whether they are buying food, toiletries, or school supplies.

Food delivery services may also adjust fees to compensate for increased driver expenses. According to GuruFocus, local businesses, from food trucks to campus dining suppliers, face higher transportation costs as well. While these changes may not immediately show up in menu prices or meal plan adjustments, prolonged instability in global oil markets can eventually ripple into university operations, as fuel prices play a significant role in delivery economics and can lead companies like DoorDash to increase fees or adjust incentives when gas costs rise.

Economists emphasize that the situation remains fluid. If tensions in Iran continue or worsen, oil prices could climb further. If diplomatic efforts stabilize the region, markets may cool. But for now, students are left navigating the uncertainty, as current energy forecasts highlight ongoing geopolitical risks that continue to influence oil prices, according to the U.S. Energy Information Administration.

A student attempting to adapt may try carpooling with classmates, consolidate errands, or use SEMO’s campus shuttle when possible. Others are taking on extra work hours, like Dewitt, to offset the rising costs.

The Southeast Arrow, a student-run news organization at Southeast Missouri State University, originally published this story.