OPEC

The cut, led by Russia and Saudi Arabia, could add to inflation pressures and undercut efforts to help Ukraine.

The group of major oil producers, which includes Saudi Arabia and Russia, announced the production cut following its first meeting in person since March 2020.

Oil prices have fallen to roughly $80 a barrel from over $120 in early June amid growing fears about the prospect of a global economic recession.

The decision comes after gas prices spiked in the U.S. in the summer and have trended downwards in recent weeks. Image: Nassiriya oil field.

The Biden administration launched a full-scale pressure campaign in a last-ditch effort to dissuade Middle Eastern allies from dramatically cutting oil ...

Gas prices rose for a 15th consecutive day on Wednesday, propelled by the turnaround in crude oil prices after a long period of decline over the summer.

Led by Saudi Arabia, the oil cartel OPEC Plus pledged to reduce output by 2 million barrels a day.

After nearly 100 days of declining prices at the pump this summer, a handful of states are seeing an increase that is lifting the national average higher.

OPEC+'s plans to cut oil production is a "mistake" and there needs to be a re-evaluation of the alliance between the Saudis and the U.S. said a U.S. ...

Washington (October 5, 2022) – Amid the news today that the Organization of the Petroleum Exporting Countries (OPEC) and non-OPEC Participating Countries ...

A cartel of oil-producing countries led by Saudi Arabia agreed to steep cuts in oil production, defying a behind-the-scenes diplomatic push by the Biden ...

“Rising energy prices always have a nastier impact on the developing world, sadly,” Gross said. “The Biden administration and OPEC producers have different opinions about market conditions, or they’re concerned about different things,” said Samantha Gross, an energy security expert at the Brookings Institution. Still, for the Biden White House, which courted Saudi Arabia and other Gulf countries this year to ensure a plentiful supply of oil, the decision is a blow. Two of Washington’s most important Middle Eastern partners, Saudi Arabia and the United Arab Emirates, sided with other major oil powers, including Russia, in the decision to slash oil production. In a meeting on Wednesday in Vienna, the OPEC+ group that comprises most of the world’s top oil exporters agreed to cut production, on paper, by 2 million barrels per day, the biggest slash in production since the beginning of the COVID-19 pandemic in 2020. It’s silly to frame this decision as a Saudi favor to Russia. Rather, it’s the specter of a looming global recession that will cut deeply into global oil demand. OPEC wants to remain a seller’s cartel, not leave pricing up to consumers. The administration suggested that it might be receptive to draconian legislation, drafted nearly every year for decades, that would put OPEC under It means OPEC will take less oil off the market than the headlines suggest.” In reality, the cartel will probably shave something like 1 million barrels off the market, since most OPEC members are already underproducing. The reason for the cuts, despite protestations from the White House, is not punitive politics.

Oil prices have been rising since the pandemic-related production disruption in 2020. That price rise accelerated when Russia invaded Ukraine. In an effort to ...

At a time when maintaining a global supply of energy is of paramount importance, this decision will have the most negative impact on lower- and middle-income countries that are already reeling from elevated energy prices." Further — at least with the Saudis — they would probably rather deal with Republicans. Their objective is to maximize the value of the oil they have in the ground. Further — with 35% of the world’s 2021 oil production — OPEC holds the trump card. OPEC and non-OPEC allies — generally referred to as OPEC+ — agreed at this week’s meeting in Vienna to reduce production by 2 million BPD from November levels. To the extent that the SPR drawdown reduced oil prices, it cost OPEC money.

WASHINGTON — The move by OPEC on Wednesday to reduce oil production sharply undercuts President Biden's effort to avoid an increase in gas prices ahead of ...

He has also made it clear that he does not view Saudi Arabia as a junior partner to the United States and that he is willing to shrug off any demands that he considers contrary to Saudi interests. “They are establishing that they have the ability to make this market.” Since the start of the Biden administration, this dynamic has played itself out in the interactions between the crown prince and Mr. And the apparent Saudi agreement to increase oil output to help bring down global prices was part of the quid pro quo. Biden regretted the fist bump with Prince Mohammed, which represented his decision to move on from his stated goal of making Saudi Arabia pay a price for the grisly killing and dismemberment of Mr. Officials said at the time they had made major progress in ending the war in Yemen, which the Saudis had helped prosecute, and moved incrementally toward eventual Saudi recognition of Israel. Biden never mentioned the dissident and former Washington Post columnist by name when he appeared with Prince Mohammed, and the prince remained silent when a reporter asked if he owed an apology to the Khashoggi family. Novak is playing a central role in cooperating with other oil-producing countries — and seeking ways out of the effort by the United States and Europe to cap the price paid to Russia for its oil exports. On Wednesday morning, not 24 hours later, with the OPEC cut looming, a White House statement said “the president will continue to direct” new releases from the petroleum reserve “as appropriate to protect American consumers and promote energy security.” In a statement from Jake Sullivan, the national security adviser, and Brian Deese, who heads the National Economic Council, the White House said Mr. The effort to cap prices for Russian oil is now in jeopardy. It followed a concerted but ultimately unsuccessful diplomatic effort by Washington to halt the oil production cut, a signal that Mr.

The Biden administration has accused OPEC+, a cartel of top oil producers, of siding with Russia after the group decided to slash oil production in order to ...

[humanitarian consequences](https://www.theguardian.com/global-development/2022/oct/04/yemen-ceasefire-truce-deadline-charities-houthis). Afterward, officials apologized and vowed to [investigate](https://www.washingtonpost.com/world/2022/10/05/south-korea-missile-drill-crash-gangneung/?utm_source=feedly&utm_medium=referral&utm_campaign=wp_world) what happened. [abducted](https://www.washingtonpost.com/world/23-hostages-from-nigeria-passenger-train-reported-freed/2022/10/05/b17ae2b6-44d9-11ed-be17-89cbe6b8c0a5_story.html) more than half a year ago while aboard a train in Nigeria have now been released, Nigerian officials said on Wednesday. [Houthi rebels](https://apnews.com/article/middle-east-yemen-sanaa-houthis-308e604fabc9ed568c4d9cfed1aa7e79) to [compromise](https://www.reuters.com/world/middle-east/yemens-houthis-should-be-more-flexible-over-truce-deal-says-us-envoy-2022-10-05/) in cease-fire negotiations, after the involved parties missed the [Oct. 2 deadline](https://apnews.com/article/middle-east-united-nations-yemen-civil-wars-sanaa-ba7d97673e3330ba85a34e6b11560c31) to extend the original truce. “In our culture you give a girl you like a cow.” [Nika Shahkarami](https://www.wsj.com/articles/iran-protests-erupt-anew-after-a-teenage-protesters-death-11664993771), was found dead after attending a protest. After facing backlash, he encouraged Kenyans to “relax.” No one has owned up to the March train attack, which killed seven people. In July, he made a controversial trip to Saudi Arabia that ended with a highly criticized [fist bump](https://www.bbc.com/news/world-middle-east-62189543) with Crown Prince Mohammed bin Salman, who spearheaded OPEC+’s latest move. Lots of police vans are waiting outside to arrest students,” a student told [CNN](https://www.cnn.com/2022/10/04/politics/white-house-lobby-opec-oil-production-cuts-gasoline-prices-midterms/index.html) reported.

European economists worried about a heightened risk of recession and a bolstered Russia, after OPEC Plus said it will slash oil production.

In Greece, a top government member expressed public admiration for the crown prince’s “leadership” and “vision.” And German Chancellor Olaf Scholz [visited the kingdom](https://www.france24.com/en/live-news/20220924-germany-s-scholz-in-saudi-arabia-on-gulf-energy-hunt) only days ago. and G-7 officials will meet to set the price, adjusting the level in response to market conditions, according to E.U. [blackouts](https://www.washingtonpost.com/world/2022/10/05/europe-blackouts-energy-crisis-ukraine-russia/?itid=lk_inline_manual_15) and the narrowing of European companies’ profit margins. In the medium-term, those setbacks could test Europe’s resolve to support Ukraine. Russia may decide to keep its oil off the market rather than selling at the cap price, further curtailing supply. But as “global oil prices will increase with this OPEC Plus decision, some countries might have greater incentive to go for discounted Russian crude,” wrote Tagliapietra. While the production cut is expected to increase prices at European gas stations, the extent of the rise was not immediately clear. The U.S. [tried to shield consumers ](https://www.washingtonpost.com/world/interactive/2022/gas-prices-around-the-world/?itid=lk_inline_manual_12)from rising gas prices through subsidies and tax breaks. Member states will need to unanimously approve the decision. Just hours before the OPEC Plus decision, E.U. The E.U.'s industrial powerhouse, Germany, reported a worse-than-anticipated decline in

Analysts say the decision by Saudi-led OPEC — and the Biden administration's reaction — underscores the depths of a widening rift between the countries.

“If you accelerate the technology shift away from oil and reduce the cost of that shift, all the world will be able to afford it — not just the rich countries.” Attempts by oil-consuming countries to try and set the price of oil represents a direct threat to OPEC’s ability to direct oil markets, they said. “To do that a month before the election in the U.S. In a note, ClearView said the bill could attract enough support to overcome a filibuster. Prince Abdulaziz bin Salman, the Saudi minister of energy, bristled at a question about whether OPEC was weaponizing oil prices. Roger Diwan, an analyst who tracks oil markets at IHS Markit, said OPEC had an economic rationale for cutting production amid rising interest rates in the United States, sky-high energy prices in Europe and mounting fears of a global recession. OPEC has met virtually since the onset of the pandemic. Its relationships in Asia have become a lot more important, and I think the U.S. Analysts said the moves underscored the depths of the gulf between Washington and Riyadh. But recent years have flipped the relationship on its head, and relations have been strained by differences over the Arab Spring, the killing of Jamal Khashoggi and conflicting approaches to a spiraling energy crisis. Biden administration officials expressed disappointment in the move and signaled they were open to working with Congress on legislation that would enable the government to bring an antitrust suit against the oil cartel. “The assumptions have changed.”

Sen. Bernie Sanders accused Saudi-led OPEC of a "blatant attempt to increase gas prices at the pump."

A month earlier, Reuters reported that the Biden administration was [considering](https://www.commondreams.org/news/2022/07/11/outrage-biden-reportedly-considers-lifting-ban-offensive-arms-sales-saudi-arabia) lifting its ban on "offensive" weapons sales to the Saudis. Free to share. military support for Saudi Arabia in response to OPEC's coming production cut, blasting the petrostate as a "third-rate power" that is "hurting the American people." Free to republish. Free to read. military assistance to the Saudis. "As we build our clean energy future, we must stand up to the oil-soaked global cartel that seeks to abuse its power to raise prices and boost their profits," Markey said in a statement. troops and missile defense systems from Saudi Arabia and the United Arab Emirates (UAE), another OPEC member. military aid to Saudi Arabia after the kingdom and other major oil-producing nations agreed to slash output by two million barrels a day, a move that could significantly drive up gas prices worldwide as a To inspire. To inform. Bernie Sanders on Wednesday called for an end to U.S.

President Joe Biden calls the decision by OPEC+ to cut oil production a "disappointment," but says the White House is exploring "alternatives.

Biden made the comments as he departed the White House for New York, where he will tour and IBM facility and deliver remarks on jobs. The comments come as major oil producing countries led by Saudi Arabia and Russia have decided to slash the amount of oil they deliver to the global economy. Biden didn't expand on what the alternatives might include as he departed the White House for New York, saying only, "There's a lot of alternatives.

Three House Democrats have introduced legislation to end U.S. troop protection in Saudi Arabia and the United Arab Emirates (UAE) in response to news this ...

President Biden visited the kingdom in July to appeal to its leadership to increase oil production. technology and defense systems elsewhere in the region. “This decision is a turning point in our relationship with our Gulf partners. In addition to removing those troops and American missile defense systems from the two countries, the legislation introduced by Reps. [See all Hill.TV](https://thehill.com/hilltv) [See all Video](https://thehill.com/video) [Campaign](https://thehill.com/homenews/campaign/) [Defense](https://thehill.com/policy/defense/) [Senate](https://thehill.com/homenews/senate/) [Infrastructure](https://thehill.com/changing-america/sustainability/infrastructure/) [See All](https://thehill.com) Following the announcement, Sen. Three House Democrats have introduced legislation to end U.S. [the decision by OPEC+ to cut oil production](https://thehill.com/policy/energy-environment/3674708-opec-announces-2-million-barrel-production-cut/) by 2 million barrels per day — about 2 percent of global supplies — a move that prompted some lawmakers to call for a reevaluation of the U.S.-Saudi relationship. Saudi Arabia and the UAE, which together comprise about 30 percent of global crude oil reserves, have some 5,000 U.S. If Saudi Arabia and the UAE hope to maintain a relationship with the United States that has been overwhelmingly beneficial to them, they must show a greater willingness to work with us — not against us — in advancing what is now our most urgent national security objective: the defeat of Russia’s aggression in Ukraine,” the three said in a statement. Sean Casten (D-Ill.), Tom Malinowski (D-N.J.) and Susan Wild (D-Pa.) would move all U.S. troop protection in Saudi Arabia and the United Arab Emirates (UAE) in response to news this week that OPEC and its allies will slash oil production.

Analysts say the decision by Saudi-led OPEC — and the Biden administration's reaction — underscores the depths of a widening rift between the countries.

“If you accelerate the technology shift away from oil and reduce the cost of that shift, all the world will be able to afford it — not just the rich countries.” Attempts by oil-consuming countries to try and set the price of oil represents a direct threat to OPEC’s ability to direct oil markets, they said. “To do that a month before the election in the U.S. In a note, ClearView said the bill could attract enough support to overcome a filibuster. Prince Abdulaziz bin Salman, the Saudi minister of energy, bristled at a question about whether OPEC was weaponizing oil prices. Roger Diwan, an analyst who tracks oil markets at IHS Markit, said OPEC had an economic rationale for cutting production amid rising interest rates in the United States, sky-high energy prices in Europe and mounting fears of a global recession. OPEC has met virtually since the onset of the pandemic. Its relationships in Asia have become a lot more important, and I think the U.S. Analysts said the moves underscored the depths of the gulf between Washington and Riyadh. But recent years have flipped the relationship on its head, and relations have been strained by differences over the Arab Spring, the killing of Jamal Khashoggi and conflicting approaches to a spiraling energy crisis. Biden administration officials expressed disappointment in the move and signaled they were open to working with Congress on legislation that would enable the government to bring an antitrust suit against the oil cartel. “The assumptions have changed.”

Lawmakers are demanding that the US withdraw its military from the cartel leader over its decision, which stands to put Russia on better footing.

[steadily increase](https://apnews.com/article/biden-approval-rating-poll-bf41fe8b0016bf8aaf144e7310c6539f). We haven’t made up our mind yet.” His comments come one day after White House press secretary Karine Jean-Pierre [accused](https://www.ft.com/content/64d35a40-5144-44f6-afca-c8b88c9d0ad5) OPEC of “aligning with Russia.” Shortly before OPEC announced its decision on Wednesday, the White House reportedly [sought to dissuade](https://www.cnn.com/2022/10/04/politics/white-house-lobby-opec-oil-production-cuts-gasoline-prices-midterms/index.html) OPEC from production cuts, warning the bloc that such a move could qualify as a “hostile act.” [boon for Russia](https://www.bloomberg.com/opinion/articles/2022-10-05/opec-output-cut-putin-finally-finds-a-true-friend-saudi-arabia), the world’s third-largest oil producer. [remarks](https://finance.yahoo.com/news/biden-energy-adviser-downplays-opec-135944725.html) at the White House on Thursday, the president described OPEC’s decision as a “disappointment” but stood by his diplomatic visit to Saudi Arabia over the summer to address the energy crisis. [introduced a bill](https://twitter.com/seancasten/status/1578005749871026177?s=12&t=xkUXfgylnigLQhyCbnKsSg) on Thursday that would pull US troops and weapons systems out of Saudi Arabia, the de facto leader of OPEC, and the United Arab Emirates, another top oil producer. Americans could feel the effects of the decision around [roughly the same time](https://www.nbcnews.com/meet-the-press/first-read/opec-decision-raise-gas-prices-home-midterm-elections-approach-rcna50990) they will be casting their midterm ballots. “I’m deeply disappointed by the Saudi decision and wish they would act more like an ally during current conditions, but this is Joe Biden's fault.” GOP representative Jim Jordan echoed, [tweeting](https://twitter.com/jim_jordan/status/1577752052956119053) that the US would not “need to rely on OPEC if Joe Biden opened up American oil and drilled domestically.” With US gas prices hitting a new record high earlier this year, Republicans have used the issue as a political cudgel throughout the midterms, blaming the spike on Biden’s federal policies despite the numerous global factors that determine the cost of oil. [Lessons From the Latest Celebrity Cheating Scandal](https://www.vanityfair.com/style/2022/09/no-more-mr-wife-guy?itm_content=footer-recirc&itm_campaign=more-great-stories-092822) [Emma D’Arcy Takes the Targaryen Crown](https://www.vanityfair.com/hollywood/2022/09/house-of-the-dragon-emma-darcy-rhaenyra?itm_content=footer-recirc&itm_campaign=more-great-stories-092822) But OPEC’s sudden 2% drop in global oil production could counteract this plan by driving the price of oil up and making desperate consumers more reliant on Russian gas. [originates](https://twitter.com/SeanCasten/status/1578006101123104769) from. [concluded](https://twitter.com/SeanCasten/status/1578006101123104769).