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Midday1 min read

Labor Day Gas Prices Set Record

On Labor Day, AAA’s national average for regular gasoline reached $4.15 a gallon, above the previous holiday record of $3.82 set in 2012. Continued Strait of Hormuz disruption has kept crude near $90, while U.S. stock and bond markets are closed today.

For the Fly High universe, higher fuel costs can squeeze household and business cash flow, slow discretionary demand, and keep inflation pressure alive. That combination can weigh on borrower earnings while preserving pressure on interest rates, refinancing, mortgage REIT funding, and book values. Earnings remain the primary signal for dividend support; a holiday price reading alone does not show that coverage changed.

The next test is whether Tuesday’s reopening brings a fresh oil or yield shock, followed by Friday’s CPI.

Sources

This article is general information, not personalized investment advice. Fly High Investing may hold securities discussed in this article.

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