California gas prices surge, average hits $5.92 with diesel topping $7

Kelly Saberi reports live from a gas station in Santa Monica, California, revealing that regular gas costs about $6.40 a gallon, while the state's average is around $6.00, significantly higher than the national average of $4.00. The segment explains that reduced refining capacity and California's specific energy policies and high gas taxes contribute to these elevated prices. It also highlights diesel prices reaching up to $8.00 in some areas. The host, Stuart Varney, comments on the governor's office blaming external factors like the Strait of Hormuz rather than California's high taxes.