Gasoline Prices Reach Record High on Labor Day Amid Elevated Oil Costs
On Monday, the national average price of regular unleaded gasoline reached $4.15 per gallon, setting a new record for Labor Day according to AAA. This marks the first time prices have exceeded $4 during this busy travel weekend. Despite being lower than the May 2026 peak of $4.56, current prices are still about 30% higher compared to last year's average of $3.20 per gallon. The elevated gasoline costs come amid ongoing global oil supply constraints due to disruptions in the Strait of Hormuz and conflicts affecting refineries in Iran and Russia-Ukraine. West Texas Intermediate crude oil futures were trading at around $92 per barrel, up from about $67 before the conflict began on February 28. Diesel prices also hit a record high of $5.90 per gallon compared to $3.71 last year. However, consumers may see some relief in September when refiners switch to less expensive winter-blend gasoline, which could help reduce pump prices.
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Topics: consumer spending gas prices oil market