CEDAR RAPIDS, Iowa (KCRG) – The war in the Middle East could have an impact here in Iowa when it comes to oil prices. Right now, Americans are seeing a downward trend when it comes to gas prices. According to AAA, the national average is $3.49. Iowa’s average is below that at $3.20.

The questions of if that downward trend will continue, though, depends on a lot of factors, including what happens between Israel and Hamas. Since Hamas attacked Israel with thousands of rockets on October 7, Israel has responded with its own airstrikes followed by a ground operation attacking the Gaza Strip.

A Commodity Markets Outlook special report from the World Bank said, so far, markets have reacted “calmly” to the conflict. However, it said if the conflict escalates and involves the entire region, the situation would be comparable to the Arab oil embargo in 1973 and could send oil prices up 56-76%.