An Iron County woman is cutting back her 100-mile trips to see her disabled son, because gas is so expensive. A Salt Lake City bicycle shop is doing its best business since the COVID pandemic. A Utah trucking firm is facing a cash squeeze amid soaring diesel prices.

The Iran war is just the latest disruption in the state’s economy, as consumers and businesspeople try to balance their budgets and plan for their future.

In the view of Phil Dean, chief economist at the Kem C. Gardner Policy Institute and former state budget officer and economist, it all comes down to one word:

Uncertainty.

That goes back six years, Dean says, to the pandemic shutdowns and the inflation that followed. Tariffs have made it harder, as has war in the Middle East.

A fragile ceasefire with Iran has calmed tensions for the moment. But, Dean says, the energy disruption “bleeds over into broader supply-chain issues.”

Because Utah is landlocked, “higher oil prices can show up quickly in people’s lives,” said Danielle Wright, who leads JPMorganChase Private Bank in Utah and Idaho. That impact is “constantly on the minds of our Utah customers, whether they’re business owners or consumers.”

Still, there’s an underlying strength to the state’s economy, Dean said. Utah is well-situated because of its diverse industries, low unemployment and continued growth in wages, population and sales. Consumer sentiment in the state was up 3.1% during much of February and March, a stark contrast to the national decline of 5.8%.

In recent days, Salt Lake Tribune reporters have been interviewing consumers and business owners to get a clearer sense of how they’re handling this uncertainty. Here’s what they told us:

Gasoline: ‘It’s never been this bad’

Gas prices have surged since the war began in late February, as a barrel of crude oil jumped from around $67 to well over $100 – though it hovered Monday around $90.

In Utah, the average price of a gallon of regular gas is $4.15 — about 85 cents higher than a year ago. And the state has consistently seen prices above the national average.

That has forced Mick Woolsey, a 70-year-old retired therapist living in Iron County, to cut back on her visits to her children and grandchildren.

For the last 20 years, Woolsey has traveled every other weekend, about 100 miles round trip, to St. George to see her son, who is cognitively disabled and requires residential care. Now she goes just once a month.

The price of gas “makes a difference whether or not I can go,” she said. “It’s never been this bad.”

One of her son’s favorite activities is going for rides with her, but they can’t do that as much either. The last time Woolsey bought gas, she paid $4.44 a gallon.

Woolsey added that in retirement, she had been looking forward to watching her grandchildren — who live in Utah and Davis counties — more, but she’s had to trim back those trips, too.

Coffee: ‘Definitely squeezed’

Dominic Oliver, owner of Buzzed Coffeehouse at 265 S. State St. in Salt Lake City, and Buzzed Coffee Truck, said the current economic situation has “definitely squeezed us.”

Oliver has seen prices go up on just about everything he needs – not just coffee.

“Just this last couple of months here, we saw the last few goods that hadn’t risen all go up,” especially for syrups and sauces. The Ghirardelli chocolate sauce that Oliver uses in Buzzed mochas used to cost $120 for 15 kilograms, or about 33 pounds. Now, it’s $145.

After holding out as long as he could, Oliver finally had to raise prices at Buzzed by about 50 cents across the board, he said. A regular 16-ounce latte that was $4.60 now costs $5.

Oliver has also had to change how he charges for alternative milks, which are now “more expensive per ounce than half and half,” he said.

Instead of charging a minimal flat rate for alternative milks, he now charges based on the size of the drink. For a medium drink, he’ll add 95 cents for alternative milk, and he said he’s still probably losing money on that.

Some changes are more personal. Oliver said he hasn’t been able to pay himself for the past few months and has been getting by on tips from working barista shifts when he fills in for his staff.

Cars: ‘A pretty big hop’

The demand for used cars has pushed wholesale prices to levels not seen since 2023. Wholesale used-car prices were 6.2% higher last month than in March 2025, while the wholesale price of used electronic vehicles is up nearly 8%.

Marc Buban, who owns the used EV dealership Mountain Auto SLC in southwest Salt Lake City, said he has “definitely” seen more competition for EVs at auctions recently.

He said he sold 20% more vehicles last month than he did in March 2025, even though federal tax credits for EVs have lapsed. More customers are eyeing the Teslas on his lot – “buying, even just shopping, inquiring, all of those things.”

Maybe the bump is buoyed by tax refunds or slightly lower interest rates. Maybe it’s gas prices, or concern about Utah’s air quality.

Whatever the reason, Buban said about his sales: “That’s a pretty big hop.”

Housing: Buyers come ‘off the sidelines’

Utahns closed on 3,763 homes in March, according to the Utah Association of Realtors – a 7% increase from March 2025. And home closings also were at their highest levels for the month since 2022, said Stephanie Taylor, the organization’s president.

Taylor attributes the increase to a warm spring and a dip in mortgage rates, which “brought a lot of people off the sidelines.”

The median sales price this year is $510,000, according to the association, and Utah’s high home prices have changed buyers’ mindset, Taylor said. They’re more willing to be flexible on a home’s attributes.

“They’re willing to give on a yard,” she said. “They’re willing to give on the number of bedrooms.”

Though sales were at the highest they’ve been since September, interest rates that spiked amid the Iran war need to go back to where they were for that to stay strong, Taylor said.

National research predicted last year that a drop to 6% mortgage rates would help 25,000 more households in Salt Lake City qualify for a median-priced home.

Trucking: ‘We’re waiting for our cash flow to come back up’

Unlike gas, diesel in Utah has stayed below the national average. On Monday, Utah’s average diesel price per gallon was about $5.31. The national average was about 22 cents higher.

Utah’s diesel has risen by $1.84 since last year, an increase of more than 50%.

Ty Walker, chief operating officer for Strokes Trucking in Tremonton, said his company felt the price hike essentially “overnight.” His company, with about 60 employees, hauls dry and refrigerated goods to California, Texas and a few Midwest states.

For 2024 and 2025, Walker said, the company spent $55,000 to $60,000 per week on fuel for their fleet of 50 trucks. In recent weeks, it has been between $95,000 and $102,000.

Because fuel surcharges are baked into the company’s contracts, they will get that difference back — but it will take a month. “The biggest thing is just seeing that delay and being able to really front the cash while we’re waiting for our cash flow to come back up,” he said.

Some carriers don’t operate on contracts like Stokes does, Walker said. “They’re just trying to figure out how they’re going to deal with a 40% higher fuel bill for the month.”

The industry has been facing other challenges, including difficulties hiring and retaining employees. This moment, where supply chains are disrupted because of the war, will likely be a boon for trucking firms, Walker said, since there will be more demand for the goods they ship — and less supply.

“The sad thing,” Walker said, “is it’s really going to get passed along to the consumer.”

Bicycles: ‘People are willing to spend more’

Guthrie Bicycle owner Jeff Goddard said his store, at 803 E 2100 South, hasn’t been this busy since the pandemic, when bike sales rose sharply.

Springtime is always hectic for bike shops. But this year has been particularly busy. Goddard said overall retail sales are up 60% compared to this time last year. Repairs are up too.

He has a few theories why, outside of the mild weather.

Some people might be more frugal and want to fix the bikes they have rather than buy new ones. Others could be sick of high gas prices and want to save money commuting.

Customers are also spending more on repairs than they did last year, Goddard said, opting to buy a premium tune-up or upgrade parts. “That’s a good sign that hopefully the economy is improving, and people are willing to spend more on their hobbies.”

The typical tune-up at Guthrie last year cost $160. Now it’s about $200. At least some of that increase is the cost of the service. Goddard said the shop’s costs have risen 10% to 15%.

Transit: ‘I almost can never find a seat’

Utah Transit Authority data showed an uptick in ridership in March. There’s normally an increase after the cold weather clears, but spokesperson Gavin Gustafson said ridership last month outpaced March 2025 by 3%.

There could be several reasons, he said. Ridership is still recovering after the pandemic. Numbers can also be affected by the season. For instance, ridership generally drops in the summer because of the exodus of University of Utah students. Because of these factors, he prefers a larger sample size, like three months of data, before declaring a trend.

The early numbers, however, show an increase, driven by bus ridership. UTA saw nearly 2 million bus riders in March, about 100,000 more than the same month last year, he said. TRAX saw a slight dip, and FrontRunner is more or less the same, he said.

But, he noted, when he boards the FrontRunner to commute from South Jordan in the mornings, the platforms and train cars seem more crowded.

Previously, he said, “sometimes I can find a seat. Sometimes I can’t.”

“Now, I almost can never find a seat.”

Entrepreneurs: ‘It’s a leap’

At Rug Lounge SLC, people can start a new hobby with what co-owner Davis Matson describes as a “forgiving learning curve.”

The new space in Salt Lake City’s 9th and 9th neighborhood is in its soft-opening stage, attracting people who want to create rugs, coasters, trivets and other items.

Davis and Linda Matson had been thinking about starting the business for a while and finally made their move, signing a two-year lease for the space on 900 South, less than half a mile west of the whale.

Davis compared the process to having a baby. “There’s probably not going to feel like a perfect time to do it,” he said. “It’s a leap.”

The current economic environment made the Matsons’ venture even trickier.

Sourcing yarn and other materials was difficult, Linda said, referencing the tariffs.

They also note that it could be hard to attract customers. “At a time when economic struggles are happening, we’re asking people to spend extra money,” she said.

Yet the response from the neighborhood has been overwhelmingly positive, she said.

Their hope, Linda said, is that people are “willing to spend extra money to get out of the house and be in a community space,” making their store a neighborhood spot where people can gather, be creative and leave with something beautiful.

Food: ‘It takes families a long time to recover’

Grocery prices are rising across the board – a fact that hit Mick Woolsey recently when she tried to buy grapes. She saw they cost $5 per pound and thought, “we won’t be getting that this time.”

Utah Food Bank has seen a statewide increase in need, said CEO Ginette Bott.

When high oil prices get passed onto consumers, she said, food “absolutely” moves to the bottom of the list for people already on a tight budget, pushing people to pantries and other places where they can supplement.

The need can last for a long time, Bott said, because one unexpected expense can have a domino effect – like higher fuel prices meaning families can’t afford gas to get to work and won’t earn a paycheck.

“It takes families a long time to recover or to recalculate,” she said.

For people who are stretched but don’t know where to turn, Bott suggests the United Way’s assistance line, accessed by dialing 211.

Investments: ‘My heart goes out to people’

Wright, with JPMorgan Chase, said her bankers have been hearing from clients dealing with a variety of challenges. Some are concerned about retirement, others want to make more conservative investments, and then some want to capitalize on this uncertainty by investing in artificial intelligence, energy or infrastructure.

“My heart goes out to so many people who are challenged by this and trying to figure out how to make sense of it,” she said.

Regardless of an individual’s strategy, Wright believes that the “smartest thing” right now is staying diversified and maintaining liquidity. “Historically, geopolitical events have shown limited influence on long-term market performance,” Wright said.

Wright said that savings accounts have been on many Utahns’ minds. Some of those accounts have faced decreases in the yield, aligning with interest rates generally and demands from the Trump administration to lower rates.

Utah’s economy: Uncertain, but resilient

So far, Utahns haven’t indicated the same stress over the economy as other Americans.

In fact, consumer sentiment – the measure of people’s present and future views of the economy was up 3.1% among Utahns in March, according to the Zions Bank Consumer Sentiment Survey. That’s the opposite direction of the national figure.

The state and national surveys both included feedback from before and after the Iran war.

The numbers are just one month’s worth and are within the margin of error. Still, they suggest that “Utahns increased their confidence in local economic conditions — despite the conflict,” according to the survey.

Dean, the Gardner Institute economist, said Utah’s economic strength plays into the results, and he is interested to see if sentiment holds up in coming months.

And he also stressed that while the state and national economy took a blow from the pandemic, they recovered and haven’t gone into a recession, despite “very dramatic economic events.”

“It is remarkable what we’ve been through and how well we’ve gone through that,” Dean said.