Gas prices at 7-year high for Labor Day, but fall relief is expected at the pump

U.S.

(Getty images)

Some relief is on the way at the pump, but GasBuddy says those traveling for Labor Day 2021 will see higher gas prices.

Prices are expected to average $3.11/gallon, 90 cents higher than Labor Day 2020 and the highest since 2014, according to the analysis firm.

GasBuddy cited companies re-opening offices and increased travel for the higher prices but cautioned the delta COVID-19 variant is making predictions difficult.

“While COVID continues to have a leading role in gasoline demand and companies plan their return to office, prices may be less predictable than normal. However, seasonality will persist, and that means less gasoline demand as we progress through fall and into winter, and cost savings from the switch back to cheaper winter gasoline in mid-September,” said Patrick De Hann, GasBuddy head of petroleum analysis.

Subscribe to the [Your Morning] newsletter from NewsNation Now

The switch back to the winter gasoline blend and drop in demand toward the holiday season should lead to further price decreases toward the end of the year, De Hann added.

Latest News

© 1998 - 2021 Nexstar Media Inc. | All Rights Reserved.

Trending on NewsNationNow.com