Story perspectives

California Gasoline Hits $5.59/gal, Prices Surge Amid Record Margins

7/26/2026

Summary

Story summary

California’s statewide gasoline average rose to $5.59 per gallon on July 25, 2026, while Los Angeles County’s self-serve regular price hit $5.645 per gallon, a 2.2-cent rise for the 10th straight day.
U.S. refineries ran at 96% capacity, diesel futures jumped 26% this month, pushing margins to a record high.
Analyst Sean Vale warned that fuel stocks are near the bottom and California’s tax premium keeps pump prices $1.50 above the national average.

History

Historical Context

After the 1973 oil embargo, the United States kept domestic oil price controls until President Jimmy Carter began phased deregulation on April 5 1979, coinciding with the Iranian Revolution that sparked the second oil shock. OPEC’s price hikes and reduced output drove gasoline to historic spikes, a pattern echoed today as Los Angeles pumps sell near $5.65 per gallon.

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Story summary

California’s statewide gasoline average rose to $5.59 per gallon on July 25, 2026, while Los Angeles County’s self-serve regular price hit $5.645 per gallon, a 2.2-cent rise for the 10th straight day.
U.S. refineries ran at 96% capacity, diesel futures jumped 26% this month, pushing margins to a record high.
Analyst Sean Vale warned that fuel stocks are near the bottom and California’s tax premium keeps pump prices $1.50 above the national average.

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