Kevin O'Leary Warns $95 Oil Could Trigger $6–$7 Gallon Gas Shock

Investor and "Shark Tank" personality Kevin O’Leary issued a stark warning on X Friday regarding the economic fallout of the ongoing Middle East conflict. O’Leary cautioned that sustained high crude prices will soon hit American wallets at the pump. “$95 a barrel for three months. That’s when you hit $6-7 gas and the American consumer freaks out,” O'Leary stated. “We’re nowhere near that yet. Politicians on both sides know this math. That’s why there’s massive pressure to resolve this conflict fast.” • United States Oil Fund stock is charging ahead with explosive momentum. What’s driving USO stock higher? The Two-Mile Deadly Zone O'Leary highlighted the Strait of Hormuz as the critical bottleneck for global markets. Currently, 21% of the world’s energy flows through what he described as a “two-mile deadly zone.” “Japan gets 70% of their oil through there,” O'Leary noted. He argued that price stability depends entirely on maritime security, stating, “The moment you can float a tanker through and prove to insurers it’s safe, global oil prices drop. Period.” Iran's Strategic Isolation The conflict, now in its 21st day, has seen Iran launch drone attacks on neighbors. O'Leary suggested this has backfired, leaving the nation “completely isolated.” He noted that “smart money” is now questioning how long Iran can endure the resulting “punishment.” Meanwhile, Iran's Foreign Minister Seyed Abbas Araghchi warned of “zero restraint” if energy infrastructure is targeted again. This follows strikes on the South Pars Gas Field and reports that 17% of QatarEnergy's LNG export capacity is offline, risking $20 billion in annual revenue. Washington Responds To Surging Costs President Donald Trump downplayed the price surge, suggesting the situation could end soon. However, internal pressures are mounting. The Pentagon reportedly requested over $200 billion in supplemental funding for the conflict. Department of Defense Secretary Pete Hegseth defended the request Thursday, stating, “Obviously, it takes money to kill bad guys.” Oil exchange-traded funds have surged as energy markets react to escalating Middle East tensions and supply route disruptions. United States Oil Fund LP (NYSE:USO) rose 4.12% on Friday to $122.20, while United States Brent Oil Fund LP (NYSE:BNO) climbed 2.72% to reach $52.53. Photos: Shutterstock