The Biden Administration’s Focus on Oil Prices
Yesterday, Sunday, a White House spokesman said that the administration of US President Joe Biden was focusing on oil prices, “rather than barrels” after the OPEC + alliance decided to significantly reduce crude oil production.
“We’re targeting US consumer prices, not barrels (barrels of oil), and prices have dropped sharply since last year,” the official, who asked not to be named, added.
He continued, “As we’ve said, we believe supply must match demand, and we will continue to work with all producers and consumers to ensure that energy markets support (US) economic growth and lower prices for US consumers.”
The OPEC+ Alliance’s Decision
The OPEC+ alliance, which includes members of the Organization of the Petroleum Exporting Countries (OPEC) and allies led by Russia, decided on Sunday after seven hours of negotiations to cut total production for 2024 by another 1.4 million tons. barrels per day.
The Biden administration’s focus on oil prices comes after the OPEC+ alliance made the decision to reduce crude oil production. Rather than focusing on the number of barrels produced, the administration is targeting US consumer prices, which have dropped sharply since last year. The White House spokesperson emphasized the importance of supply matching demand and working with all producers and consumers to ensure energy markets support economic growth and lower prices for US consumers.
The OPEC+ alliance, which includes OPEC members and allies led by Russia, decided to cut total production for 2024 by another 1.4 million barrels per day after seven hours of negotiations on Sunday. This decision is expected to have an impact on global oil prices and supply.
