U.S. retail diesel rose to a record $5.85/gal on Thursday, AAA data showed, as supply disruptions tied to conflicts involving Iran and Russia and tight global inventories meet the start of the peak demand season. Higher diesel costs risk lifting energy-driven inflation, increasing consumer pressure and creating a political headache for the WHITE HOUSE ahead of midterm elections in two months. Persistent diesel inflation could complicate the Fed’s effort to tame inflation; officials have recently

2026-09-04

U.S. retail diesel rose to a record $5.85/gal on Thursday, AAA data showed, as supply disruptions tied to conflicts involving Iran and Russia and tight global inventories meet the start of the peak demand season. Higher diesel costs risk lifting energy-driven inflation, increasing consumer pressure and creating a political headache for the WHITE HOUSE ahead of midterm elections in two months. Persistent diesel inflation could complicate the Fed’s effort to tame inflation; officials have recently signaled mixed views on further rate hikes and the next policy meeting is mid-September.