Ukrainian drone strikes on Russian refineries drive record U.S. diesel costs

Ukraine's long-range drone strikes have knocked out about 40% of Russia's refining capacity, prompting Moscow to halt diesel exports and removing roughly 3% of global daily supply. This supply squeeze, combined with outages elsewhere, pushed U.S. diesel to a record $5.85 per gallon and gasoline to an all-time Labor Day high of $4.14. Analysts note that while crude oil stocks can be tapped, there is no equivalent cushion for refined fuels, making the refining system particularly vulnerable.