Buckle Up: Gas Prices Likely to Rise Even More as OPEC+ Discusses ‘Historic’ Cut in Production – IOTW Report

Buckle Up: Gas Prices Likely to Rise Even More as OPEC+ Discusses ‘Historic’ Cut in Production

PJM

After more than a year of rising gas prices, it was nice to see them go down a bit over the summer. It wasn’t enough, but every little bit helped. All the while, the Biden administration crowed about gas prices as though a slight drop after sharp rises was all part of the plan.

Many of us believed that prices would trend back upward eventually and recent weeks have proven that notion correct, as oil companies started preparing for the switch to winter gas formulas and Hurricane Ian bore down on Florida.

And now it looks like even higher gas prices are in the works. OPEC+, the coalition of the traditional OPEC nations and other oil-producing nations, is meeting in Vienna this week to discuss production policy. CNBC reports that these oil producers are “reportedly considering their largest output cut since the start of the coronavirus pandemic this week, a historic move that energy analysts say could push oil prices back toward triple digits.”

It’s the first meeting of OPEC+ since 2020, so experts believe that this summit is intended to lead to big moves like a cut in supply.

“The OPEC ministers are not going to come to Austria for the first time in two years to do nothing. So there’s going to be a cut of some historic kind,” Dan Pickering, CIO of Pickering Energy Partners, told CNBC.

This move could mean a production cut of a million barrels per day, although Pickering expects the cut to be around half a million. And since the U.S. is no longer a net energy exporter thanks to the Biden administration, that can only mean that prices at the pump will rise. more

12 Comments on Buckle Up: Gas Prices Likely to Rise Even More as OPEC+ Discusses ‘Historic’ Cut in Production

  1. The energy dynamic is so basic, so simple that a 6-year-old can understand it. If there is something you NEED and you can produce it yourself, you have security, independence, and comfort. When you rely on others to produce what you need, your situation becomes precarious and uncertain, left to the whims of the producer who decides your fate, whether you get a little, a lot, or nothing at all and what price.

    Going from a position of abundance to scarcity is not a recipe for an enduring society, part and parcel of that “Great Re-set” plan they are working on.

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  2. Very true about being left to the whims of the producer who decides your fate, but there is something else involved here as well. Not only are the American people denied fuel and energy, shutting down our own exploration, drilling, fracking and production also denies Americans of a lot of valuable jobs – jobs that scare the hell out of our enemies because they do increase our power and influence around the world! If you want to destroy the West, first destroy America!
    It’s just that simple.

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  3. what’s the difference if you use electricity for air conditioning, heat, or charging your EV?

    No difference, except electricity is hard to come by in some places, and charging stations are few. OMG! Who controls the food and energy controls you.

    what did they use for light in California before candles?
    Electricity

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