Record-High Gas Prices Ahead for Labor Day Weekend
As Americans prepare to hit the road for Labor Day weekend, they're facing record-high gasoline prices. The national average price is expected to surpass $4 per gallon, outdoing the previous high set in 2012. GasBuddy analyst Patrick De Haan predicts a national average of $4.03 on Labor Day.
The rising cost of crude oil has contributed to the increase, with prices jumping back over $90 a barrel after renewed military action between the U.S. and Iran raised concerns about global supply disruptions.
Retail fuel prices and crude oil typically move in tandem because crude feedstock is the dominant cost for producing fuel. Analysts say that persistently high gasoline prices are primarily a supply story, driven by concerns about energy shipments through the Strait of Hormuz and attacks on Russian refineries.