High oil prices due to the Iran war are pushing gasoline prices higher and that could lead to grocery bills rising for American consumers.

Oil prices surged in recent weeks after the outbreak of the Iran war, rising from the $60 to $70 a barrel range for most of February to more than $100 a barrel on Monday before gradually easing to about $85 a barrel during Tuesday’s trading session.

Higher oil prices, in turn, push gasoline and diesel prices higher, with the average price of a gallon of regular gasoline rising from $2.92 a month ago to $3.54 and diesel increasing from $3.66 to $4.78 in that period, according to AAA data.

The increase in oil, gas and diesel prices raises the transportation costs faced by businesses, including grocery stores, which may face pressure to raise the price of food and other items to account for the cost increases if the situation continues.

WILL TAPPING OIL RESERVES CURB SOARING GAS PRICES?

The war with Iran has affected the flow of oil through the Strait of Hormuz, a key choke point for the global energy market. (Giuseppe Cacace/AFP via Getty Images / Getty Images)

“Every time something moves in the economy it will cost more,” said Derek Reisfield, co-founder of MarketWatch and a former McKinsey consultant. “Someone, usually the end consumer, will have to pay for that.”

Gregory Daco, chief economist at EY-Parthenon, told FOX Business, “For U.S. consumers, what this means is that while there is currently a price shock at the pump being felt directly by consumers, there’s still uncertainty as to how long this shock will last.”

“The effect on consumer spending activity is still somewhat fluid because we don’t know the duration of the shock to crude oil prices and in turn to gas prices,” he added, noting that gas prices will moderate if crude oil prices trend down toward their pre-war levels.

FED OFFICIALS CLOSELY MONITOR IRAN CONFLICT FOR POTENTIAL INFLATION IMPACT

Grocery prices could be affected by a protracted energy price shock because elevated oil and gas prices increase businesses’ transportation costs and could be passed on to consumers. (Justin Sullivan/Getty Images)

Daco noted that businesses find themselves in “a very delicate pricing environment” because tariffs have raised input costs, which have been challenging to pass on to inflation-weary consumers. 

“Pricing sensitivity over the course of the last couple of years has increased dramatically, and increasingly consumers are constrained by affordability issues,” Daco said. 

Talent costs are also elevated with wages rising, and now transportation costs are increasing due to the oil and gas shock. And with consumers facing their own financial limitations, businesses are “really struggling in terms of your ability to find a relief valve on the pricing side.”

AMID IRAN WAR, PRESIDENT TRUMP SUGGESTS SHORT-TERM OIL PRICE SPIKE IS ‘SMALL PRICE TO PAY’ FOR PEACE

Gas prices jumped after the outbreak of the Iran war. (Brandon Bell/Getty Images)

Daco said businesses may opt to address those headwinds through some combination of margin compression and selective pricing behavior to “stave off some of these shocks at least in the short run” as they try to protect market share while waiting to see whether the energy price shock will be short-lived or longer-lasting.

Ben Fulton, CEO of WEBs Investments, said the oil shock “will have a butterfly effect if prices stay above $70 for very long. The cost to transport, hedging costs for manufacturing and cushioning by producers to protect from possible pending inflation will be noticeable to retail.”

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Buying a home was once the bedrock of the American Dream, but for millions of families, that dream is being priced out of reach. 

With the typical down payment more than doubling since 2019 to $30,400, Sen. Rick Scott, R-Fla., is moving to bypass “economy-crushing” inflation. His newly introduced American Dream Accounts Act would empower first-time buyers to shield their savings from the IRS, allowing them to build a down payment faster and reclaim a stake in the country’s future.

“I grew up in public housing and watched my family struggle to make ends meet. For us, owning a home was out of reach because we couldn’t afford it,” Scott said in a press release. “Today, so many Americans are facing that same struggle, especially young first-time buyers who view homeownership as a critical milestone to help them achieve their American Dream.”

McMANSIONS BECOME FINANCIAL ‘LIABILITY’ AS BUYERS DITCH OVERSIZED HOMES

On Friday, the senator introduced the bill, which would allow for tax-exempt contributions and qualified withdrawals for down payments. Individuals under 35 years old can contribute up to $7,500 annually, while those over 35 have a “catch-up” limit of $10,000 per year.

A “for sale” sign is displayed outside of a home for sale on Aug.16, 2024, in Los Angeles, California. (Getty Images)

There’s flexibility for couples as two buyers can combine distributions, allowing for a total qualified distribution of up to $500,000.

However, nonqualified withdrawals will face a 10% penalty, mirroring traditional 401(k) rules to ensure the money remains focused on buying a home. 

Realtor.com’s latest Down Payment Report found that the average amount needed for a home rose to $30,400 in the third quarter of 2025, double the figure from 2019. Additionally, the report estimated that it takes about seven years to save for that down payment.

“Unfortunately, years of inflation-driving, economy-crushing Democrat-led policies aren’t helping make it any easier. That’s wrong, and it’s why I am fighting every day to deliver real solutions that make housing more affordable for everyday Americans and make the dream of homeownership a reality,” Scott said.

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“Homeownership means stability and economic mobility,” he continued. “This bill will help first-time buyers save faster, and their money go farther to ease the financial barrier to homeownership for families.”

While Sen. Scott’s bill takes the initiative to the federal level, several states, including Virginia, Colorado, Iowa and Oregon, have pioneered first-time homebuyer savings accounts to help Americans reach homeownership goals.

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Operator

Good morning, ladies and gentlemen, and welcome to the Full Year Results Investor and Analyst Call of Volkswagen AG. [Operator Instructions]

Let me now turn the floor over to Rolf Woller.

Rolf Woller
Head of Group Treasury & Investor Relations

Thank you very much, and a very good morning to everyone, and a warm welcome to the Volkswagen Group Investor and Analyst Conference Call on the Full Year Results 2025. With me today are Oli Blume, our CEO; and Arno Antlitz, our CFO and COO.

Before we start, let me provide you with a few organizational remarks. The press release, the annual report and other related materials were all published early this morning. If you do not have them yet, you can find them on our IR website. As a reminder, and as always, the safe harbor language and other cautionary statements on Page 2 of our presentation will govern today’s presentation. I would like to encourage you to read the disclaimer carefully since all forward-looking statements are qualified by this language. In order to maximize the time for the presentation and the Q&A, I will not read it loud to you.

Our presentation today is structured in 4 chapters. Oli will guide you through the financial and operational highlights in 2025, followed

Banks, industrials, and technology companies fall as European blue-chip indexes all opened sharply lower on surging oil prices.

Spain’s IBEX 35 fell 3% as major banks slipped sharply—Santander was down 4.4%, while BBVA fell 3.5%. Industrials led the fallers in the German DAX—down 2.7%—as Siemens Energy slid 7.25% while cement maker Heidelberg Materials fell 4.5%. The French CAC 40 was down 2.6%. Banks also pushed the FTSE MIB lower. The Italian index was down 2.5%, with UniCredit sliding 4%. In London, the FTSE 100 was down 1.7% as industrial giant Rolls Royce slid 5.1%. Losses in the index were softened somewhat by gains for oil majors BP and Shell. The Dutch AEX was down 1.9% as ASML—Europe’s most valuable company—falls 5%.

DETROIT — Running back Isiah Pacheco, the hard-nosed former Kansas City Chiefs standout, has agreed to a free-agent contract with the Detroit Lions, multiple sources confirmed Tuesday, March 10, 2026. The move reunites Pacheco with a high-powered offense led by Jahmyr Gibbs and addresses the Lions’ immediate need at the position following their trade of David Montgomery to the Houston Texans last week.

NFL Network’s Tom Pelissero first reported the agreement, with ESPN’s Adam Schefter and The Athletic also confirming the deal through league sources. Pacheco, who turns 27 this month, becomes the latest addition to a Detroit roster aiming to build on recent playoff success and contend in the NFC North.

The signing comes as the NFL’s legal tampering period winds down ahead of the official start of the 2026 league year on Wednesday. Terms of the contract were not immediately disclosed, but analysts project a one-year “prove-it” deal in the $4-5 million range, aligning with Spotrac’s estimated market value of $4.3 million for the veteran back. Pacheco’s rookie contract with Kansas City expired after the 2025 season, making him an unrestricted free agent.

Pacheco spent his first four NFL seasons with the Chiefs after being selected in the seventh round (No. 251 overall) of the 2022 draft out of Rutgers. Known for his explosive, physical style — often described as “violent” by scouts — he burst onto the scene as a rookie, rushing for 830 yards and five touchdowns while contributing in the passing game. Over his career in Kansas City, Pacheco amassed more than 2,000 rushing yards, showcasing burst and toughness that helped the Chiefs win multiple Super Bowls.

Injuries hampered his later years in Kansas City. A fractured fibula sidelined him for much of 2024, and he struggled to regain form in 2025, carrying the ball 118 times for 462 yards and one touchdown in a committee role that included veteran Kareem Hunt. His yards-per-carry average dipped to 3.9 over the past two seasons, down from 4.7 in his first two campaigns. Despite the production dip, Pacheco’s downhill running and ability to break tackles remain assets, particularly in a scheme that values physicality.

The Lions’ interest stems directly from the March 2 trade that sent Montgomery — a reliable veteran who had been a key complement to Gibbs — to Houston in exchange for offensive lineman Juice Scruggs and draft picks. Montgomery’s departure left a void for a power back capable of handling early-down work and short-yardage situations, allowing Gibbs to operate as the primary explosive threat.

Detroit’s backfield now features Gibbs, the dynamic 2023 first-round pick who has emerged as one of the league’s most versatile runners, paired with Pacheco’s bruising style. The combination could provide balance: Gibbs’ speed and receiving skills out of the backfield, complemented by Pacheco’s ability to churn out tough yards between the tackles.

Lions coach Dan Campbell, known for favoring physical, aggressive players, has long valued running backs who embrace contact. Pacheco fits that profile, bringing the same tenacity that endeared him to Chiefs fans and coaches. The addition bolsters an offense already featuring quarterback Jared Goff, wide receivers Amon-Ra St. Brown and Jameson Williams, and a strong offensive line.

For Pacheco, the move represents a fresh start after a challenging end to his Chiefs tenure. Kansas City opted not to extend him or use franchise-tag leverage, clearing the path for free agency. Reports from The Athletic indicated he was “likely” to sign elsewhere, with hopes of a resurgence in a new environment. Detroit’s run-heavy scheme under offensive coordinator Ben Johnson could provide the volume and protection needed to rebuild his value ahead of future contracts.

The Lions enter the 2026 offseason with momentum from recent deep playoff runs, positioning themselves as contenders in a competitive division. Adding Pacheco at a relatively low cost allows flexibility under the salary cap while addressing roster needs without overcommitting resources.

Pacheco’s career stats include solid contributions in the postseason, where he helped Kansas City during championship runs. His ability to perform in high-stakes games could prove valuable for Detroit as it pursues a Super Bowl berth.

As free agency unfolds, the Lions continue to reshape their roster. The Pacheco signing signals confidence in their young core while adding veteran experience and physicality to the backfield. Fans in Detroit are already buzzing about the potential one-two punch of Gibbs and Pacheco, envisioning a ground game that wears down defenses.

Pacheco is expected to officially sign once the league year begins Wednesday afternoon. Training camp will provide the first look at how he integrates into the Lions’ system, but early indications point to a motivated player eager to prove doubters wrong after recent setbacks.

The deal underscores the fluid nature of NFL free agency, where a seventh-round gem from one championship contender finds a new home with another rising power. For the Lions, it’s a calculated addition aimed at sustaining offensive dominance in 2026 and beyond.