Moody's Estimates Iran War Has Cost U.S. Households About $2,000 Each

The Iran War has cost U.S. consumers roughly $265 billion, or about $2,000 per household, according to an estimate from Moody's Analytics. Mark Zandi, the firm's chief economist, told CNN on Tuesday that many Americans have drawn a direct line between the conflict and a painfully high cost of living, and want the war to end. Slightly more than half of that per-household figure comes from higher energy costs, including gasoline and home heating, by Zandi's calculation.

The tally covers the fighting so far, and the fighting shows no sign of stopping. The war began on Feb. 28, when President Donald Trump suggested it might last four to six weeks. Nearly eight months later, Gizmodo notes there is no end in sight, and the outlet argues the financial pain is likely to grow.

Energy markets remain under strain. Eighteen commercial ships have been hit by Iran in the Strait of Hormuz this month, and Reuters reported Tuesday that the headquarters of Saudi Arabia's state oil company, Aramco, was struck. It is not yet clear whether the building took a direct missile hit or was damaged by shrapnel from an intercepted missile. Saudi Arabia has been a repeated target of Yemen's Houthi rebels, who are aligned with Iran.

At least 16 people were killed and hundreds more wounded over the weekend at Riyadh's King Khalid International Airport, according to Bloomberg. The airport is set to remain closed until at least Oct. 17. In a Truth Social post Tuesday, Trump complained that the Houthis were "purposefully trying to drive up Oil Prices, probably prior to the U.S. Elections — NOT NICE."

The Houthis have been attacking Saudi targets for years, and the campaign is not new to this conflict. President Joe Biden struck Houthi sites in Yemen several times in 2024, long before the current war began, according to Gizmodo.

Household costs are visible at the pump and in the air. AAA puts the national average for a gallon of gasoline at $4.34, with diesel averaging $6.27 — up from $3.08 and $3.65 a year ago. Kayak data cited by Gizmodo shows the average domestic airline ticket at $386 last week, versus $306 a year earlier, while international fares averaged $1,038, up from $820.