The U.S. war with Iran has dealt a staggering $100 billion setback to American consumers, according to estimates by Moody's chief economist, erasing the financial cushion previously provided by recent tax refunds.

Massive Economic Blow

According to Economist Mark Zandi, the cumulative toll of the war has reached nearly $750 per U.S. household. Zandi warned that the situation represents a massive "economic blow," driven by soaring military expenditures and spiked fuel prices.

Data indicates that additional energy spending surged to $59.7 billion by late May, outpacing tax refunds by $9 billion. Zandi noted that "financial pressure" is now "mounting" rapidly on lower-income families, forcing severe spending cutbacks that will further weigh down a "sagging economy."

Warren Blames 'Big Oil'

Washington Democrats are viewing the economic data to launch criticisms against the administration. Senator Elizabeth Warren (D-Mass.) claimed the conflict inflicts $800 million daily in "excess costs" at the pump.

Warren accused major energy corporations of profiteering from the crisis, noting that CEOs at Chevron Corp. (CVX  ) and ConocoPhillips (COP  ) have personally netted millions. "Guess who's getting richer?" Warren asked on X, highlighting a $1.4 billion executive stock sell-off since the war began.

Trump Predicts Prices Will 'Drop Like A Rock'

President Donald Trump remains fiercely defiant despite the grim macroeconomic indicators. In a phone interview with CNBC, Trump shrugged off the collapse of peace negotiations and potential Iranian blockades in the Strait of Hormuz, stating, "I don't care if they're over, honestly."

Dismissing market anxieties following an immediate 8% spike in oil prices, Trump predicted that crude would soon be "dropping like a rock" and gasoline would plummet to $1.85 a gallon once the crisis resolves.

He maintained that American consumers ultimately backed his hardline strategy. "Once you explain that this is all about Iran having a nuclear weapon, people are willing to pay a little bit more," Trump insisted.

Oil Futures At The Last Check

At the time of publishing this piece, WTI Crude Oil futures were trading 1.12% lower to hover around $91.13 per barrel. Meanwhile, Brent Crude Oil futures was 0.93% lower at $94.10 per barrel.

Here's how a few energy stocks and linked ETFs have performed recently:

Energy StocksYTD Performance / 6-Month Performance

NextEra Energy Inc. (NEE  )-1.17% / 4.21%

Vistra Corp. (VST  )-10.87% / -4.07%

GE Vernova Inc. (GEV  )64.77% / 45.44%

ConocoPhillips 28.05% / 23.47%

Occidental Petroleum Corp. (OXY  )36.16% / 43.29%

Chevron Corp. 21.82% / 21.93%

Energy Sector ETFs6-Month Performance / YTD Performance

Energy Select Sector SPDR Fund (XLE  )25.49% / 29.16%

Vanguard Energy Index Fund ETF (VDE  )26.76% / 27.81%

Fidelity MSCI Energy Index ETF (FENY  )26.90% / 27.77%

iShares Global Clean Energy ETF (ICLN  )35.61% / 40.06%

Alerian MLP ETF (AMLP  )9.50% / 10.57%

First Trust Natural Gas ETF (FCG  )19.19% / 24.18%

VanEck Oil Services ETF (OIH  )43.54% / 47.69%