Gas Prices Still Trending Low After Labor Day Weekend

Throughout Labor Day weekend, drivers experienced relief at the pump as gas prices dropped. According to GasBuddy’s Labor Day travel forecast, 13% below last year’s average, making it the lowest Labor Day price since 2021. 

Labor Day Gas Prices (Source: GasBuddy)

The decline in gas prices can be attributed to several factors, including lower global demand as the summer season ends, which has led to decreased prices at the pump. AAA spokesperson Andrew Gross says “the clouds of war overseas are less dark at the moment and the Atlantic is quiet now too, which is taking pressure off of oil prices,” referring to the recent break in hurricane activity. 

Additionally, under Biden’s administration, America's oil production has surged, surpassing OPEC nations such as Saudi Arabia and Russia. Biden has greenlit numerous permits for oil drilling on public lands and accelerated the construction of an oil pipeline in West Virginia. This boost in oil production has played a role in keeping gas prices relatively low since their spike in 2022. 

US Crude Oil Production (Source: Vox)

Gas prices have continued to trend downward throughout the last month. As the summer season wanes and the energy market stabilizes, Americans can take comfort in the current trend of lower fuel costs. With these favorable conditions likely to continue, drivers may find further relief at the pump in the coming months.