Oil Prices Increase as OPEC Members Cut Output

April 4, 2023

This week we are seeing the most significant single-day jump in oil prices in the past year due to surprise production cuts from OPEC countries. Saudi Arabia and other foreign oil producers announced they will cut production by roughly one million barrels a day.

The Wall Street Journal reports,  

“A Saudi Arabia-led production cut vaulted crude prices 6.3% higher Monday in their steepest one-day increase in more than a year. But with oil markets facing a host of challenges including a possible U.S. recession, only the most bullish analysts see prices touching $100 a barrel soon.”

Meanwhile, thanks to President Biden’s war on American energy, our production remains well below highs achieved in 2019. Energy experts say this could increase U.S. gasoline prices by roughly 26 cents per gallon. The United States did not have to rely on other countries for oil a few years ago, and we must work our way back to energy independence. 

Power The Future Founder Daniel Turner encourages the Senate to pass H.R. 1 and unleash American energy,

“Only a few short years ago foreign governments were unable to use energy as a weapon against the United States. Then Joe Biden came along and made OPEC great again. Just last week, the House of Representatives passed a bill to put America back on the road to energy independence and it’s clear OPEC was paying attention. The Senate should pass H.R. 1 immediately and President Biden finally needs to put politics aside and unleash the power of American energy. Otherwise, we are headed back to $4 dollar a gallon gasoline as the norm, among many other unpleasant factors.”