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Gas prices hit record high for any Labor Day weekend

From CBS News · () English

Translated from English and summarized by DistantNews. Read the original for the full story.

At a glance

Newswire From a news agency Ongoing story
  • U.S. drivers faced a Labor Day weekend record, with regular gasoline averaging $4.14 a gallon, while diesel reached a record $5.85 a gallon.
  • Prices rose after the United States and Israel attacked Iran in February, while reduced traffic through the Strait of Hormuz and refinery pressures have kept energy markets tight.
  • Future prices remain uncertain, although the Energy Department says increased production and futures markets point to lower gasoline prices in coming months.

Filling the tank for one last summer trip has never cost more over a U.S. Labor Day weekend. Regular gasoline averaged $4.14 a gallon heading into the holiday, nearly $1 above last year and higher than the previous holiday record of $3.82, set in 2012, according to AAA.

Prices surged after the United States and Israel attacked Iran in February and have not settled since. Crude oil shipments through the Strait of Hormuz have plunged, while Iran has refused to reopen the waterway. “Everything points to the Iran War and the Strait of Hormuz,” said Tom Seng, a professor of energy finance at Texas Christian University.

Everything points to the Iran War and the Strait of Hormuz.

· Tom SengThe Texas Christian University energy finance professor identified the main factors behind the surge in U.S. fuel prices.

Energy Secretary Chris Wright offered no clear timetable for relief at the pump, acknowledging that prices are higher than during Labor Day 2025. “Yes, they’re higher today, but we’re doing everything we can to push them down,” Wright said on ABC’s “This Week.” The national gasoline average remains below the record $5.02 a gallon set in June 2022, but diesel reached a record $5.85 on Friday.

Yes, they’re higher today, but we’re doing everything we can to push them down.

· Chris WrightThe U.S. energy secretary acknowledged higher prices and said the administration was working to reduce them.

Diesel costs affect trucks and other freight systems, and higher transportation expenses are being passed to consumers through groceries and package deliveries. Gasoline normally becomes cheaper after the summer driving season as refineries switch to a less expensive winter blend. This year, however, refineries are operating at 98% capacity, many in unusually harsh Texas heat. A technical problem or hurricane could keep prices from falling.

Other pressures include Ukrainian drone attacks on Russian refineries and declining output from Chinese refineries. Matthew Metzgar of UNC Charlotte said, “There’s just less gasoline coming out of those refineries.” Wright said the Trump administration was working to increase production, while futures markets indicate that gasoline could be about 35 cents cheaper in November. Drivers can also save by using price apps, since stations near interstate highways may charge 10 to 15 cents more per gallon than nearby alternatives.

There’s just less gasoline coming out of those refineries.

· Matthew MetzgarThe UNC Charlotte economics professor described the effect of lower refinery output on fuel supplies.
About this summary

Originally published by CBS News in English. Translated, summarized, and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.

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