Rising gas prices drive more people to Costco for cheaper fuel, but the retailer also increases in store traffic. This is due to the Iran war and U.S. oil prices reaching record highs. The national average for regular unleaded gasoline was $3.91, according to AAA. Gas prices vary widely from state to state, with New York about 13 cents below the national average and California about $1.75 above. Costco typically offers gas prices at a 9-cent per-gallon discount and a 24-cent discount versus the state average. The recent surge in oil prices stems from supply disruptions due to Mideast conflict. If the conflict drags on, it could negatively impact the economy and potentially lead to inflation. However, a slowing economic growth and rising inflation could make it tougher for all retailers. Costco's stock chart suggests the retailer is poised to move higher than the S & P.26% year to date.