Gas prices at record high for any Labor Day, as diesel hits all-time record
Updated on: September 7, 2026 / 2:32 PM EDT / CBS/AP
TL;DR
- Average regular gas prices reached $4.14 a gallon for Labor Day weekend, a record for the holiday.
- Diesel prices set an all-time record, averaging $5.85 a gallon.
- Geopolitical events, specifically the U.S. and Israel's attack on Iran and resulting disruption of the Strait of Hormuz, are major factors contributing to high fuel prices.
- Ukrainian drone attacks on Russian refineries and declining output from Chinese refiners are also squeezing diesel supplies.
- High fuel costs have increased expenses for Americans, with an estimated impact of over $741 per household since the start of the Iran war.
- While gas prices typically decrease after summer, factors like high refinery capacity (98%) and potential disruptions could affect future price drops.
- Market futures indicate lower gasoline prices in the coming months, suggesting a potential decrease of about 35 cents per gallon by November.