Investor Ross Gerber isn't mincing words about the current economic squeeze. On Thursday, he said that elevated oil prices, driven by the ongoing conflict with Iran, are hitting consumers right in the wallet, and he's skeptical that President Donald Trump has the stomach to truly escalate the situation.

Higher Oil Price a Tax on Non-EV Owners

In a post on X, the Gerber Kawasaki co-founder acknowledged that the economy is "in a mode of decent jobs and pay," but he pointed out that rising inflation is eating away at any real gains. "Wage gains don't add to wealth," he argued.

"More spending goes to staples and less to discretionary" expenses like eating out or travel, the investor said. He didn't stop there, calling rising oil prices "a tax on non EV consumers" that they simply can't avoid. Every trip to the pump costs more, and that money has to come from somewhere.

Trump Too Scared to Escalate Iran War

In a separate post, Gerber turned his attention to geopolitics. He noted that while summer spending has held up and oil prices dropped at the "right time," the Iranians are playing a longer game. They know midterm elections are coming, and the Trump administration "looks to lose lots of power," giving Tehran "no incentive" to de-escalate and end the war.

"They also know Trump is too scared to really escalate," Gerber said. "No war has been won with airstrikes alone," he added, suggesting that the current strategy may not be enough to change Tehran's calculus.

Trump Touts 1000-Year Gas Supply

Meanwhile, President Trump was making his own case on energy. During a visit to General Motors Co. (NYSE: GM) facility in Milford, Michigan, he claimed the U.S. is sitting on a "1000-year" supply of gasoline, something he said China doesn't have.

He also highlighted the U.S. incorporating Venezuelan oil into its supply chain. That drew scrutiny from Sen. Adam Schiff (D-CA), who earlier questioned where the Trump administration's reported revenue of $13 billion from Venezuelan oil actually went.

On the ground, consumers are feeling the pinch. Gas prices ticked up on Thursday, with the American Automobile Association (AAA) reporting a national average of $4.0980 per gallon. California drivers are paying the most, with an average of $5.6480 per gallon, while states like Florida, Indiana, Georgia, and Mississippi are still seeing prices below $4 on average.