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.

OPEC+ agreed its deepest cuts to oil production since the 2020 COVID pandemic at a Vienna meeting on Wednesday, curbing supply in an already tight market ...

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

Oil production cuts prompt backlash from Washington amid soaring energy inflation.

Today the oil ministers of OPEC member nations gathered in Vienna for the first time in 2.5 years and agreed to cut their oil production volumes by 2 ...

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.

The Opec oil cartel and its allies have agreed to a bigger than expected cut in oil production targets despite significant pressure from the US.

The oil price rally continued for a third straight day on Wednesday as the Organization of the Petroleum Exporting Countries (OPEC) lived up to analytical ...

government to sue members of OPEC for manipulating the energy market. Meanwhile, oil was also supported on Wednesday by an Energy Information Administration report showing that U.S. [defended](https://www.cnbc.com/2022/10/05/oil-opec-imposes-deep-production-cuts-in-a-bid-to-shore-up-prices.html) the output cuts, saying his organization intended to provide "security [and] stability to the energy markets." [criticized](https://www.foxbusiness.com/politics/us-oil-industry-mocks-biden-opec-announces-production-cuts) president Joe Biden for having no other options to counter rising gas prices than to turn to the oil industry he has persistently attacked. The mainstream media's take on OPEC's motivation to enact so deep a cut is that the cartel is concerned about the outlook for energy demand in the face of rapidly tightening monetary policies. The oil price rally continued for a third straight day on Wednesday as the Organization of the Petroleum Exporting Countries (OPEC) lived up to analytical expectations and

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.

The oil price rally continued for a third straight day on Wednesday as the Organization of the Petroleum Exporting Countries (OPEC) lived up to analytical ...

government to sue members of OPEC for manipulating the energy market. Meanwhile, oil was also supported on Wednesday by an Energy Information Administration report showing that U.S. [defended](https://www.cnbc.com/2022/10/05/oil-opec-imposes-deep-production-cuts-in-a-bid-to-shore-up-prices.html) the output cuts, saying his organization intended to provide "security [and] stability to the energy markets." [criticized](https://www.foxbusiness.com/politics/us-oil-industry-mocks-biden-opec-announces-production-cuts) president Joe Biden for having no other options to counter rising gas prices than to turn to the oil industry he has persistently attacked. The mainstream media's take on OPEC's motivation to enact so deep a cut is that the cartel is concerned about the outlook for energy demand in the face of rapidly tightening monetary policies. The oil price rally continued for a third straight day on Wednesday as the Organization of the Petroleum Exporting Countries (OPEC) lived up to analytical expectations and

U.S. President Joe Biden and European leaders have urged more oil production to ease gasoline prices and punish Moscow for its aggression in Ukraine.

Energy analysts believe the deep production cuts could yet backfire for OPEC kingpin and U.S. ally Saudi Arabia.

[In a statement](https://www.whitehouse.gov/briefing-room/statements-releases/2022/10/05/statement-from-national-security-advisor-jake-sullivan-and-nec-director-brian-deese/), the White House said Biden was "disappointed by the shortsighted decision by OPEC+ to cut production quotas while the global economy is dealing with the continued negative impact of Putin's invasion of Ukraine." The trip was part of an effort to improve diplomatic ties with Riyadh, which collapsed after the murder of journalist Jamal Khashoggi in 2018. And so perception is 90% of the law. And the perception is the Saudis are not holding up their end of the bargain," he said. Secretary of State Antony Blinken said Wednesday that Washington has made its views clear to OPEC members. White House opposition to NOPEC has served as a restraining influence on Congressional leaders," they continued. OPEC and non-OPEC allies, a group often referred to as OPEC+, agreed on Wednesday to reduce oil production by 2 million barrels per day from November. Asked whether he was specifically disappointed with U.S. Energy security has a price as well." Strategists led by Helima Croft at RBC Capital Markets said that while the U.S. The U.S. [Brent](/quotes/@LCO.1/) crude futures traded at $93.55 a barrel during Thursday morning deals in London, up around 0.2%.

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

Democratic members of the U.S. Congress called for a sharp reduction in military sales to Saudi Arabia, as President Joe Biden on Thursday considered how to ...

But Congress has never been able to garner enough votes to stop a sale, including three failed efforts to override former President Donald Trump's 2019 vetos of resolutions that would have stopped sales to the Saudis. Representative Ruben Gallego suggested the United States take back Patriot missile defense systems deployed in Saudi Arabia. troops from Saudi Arabia and the United Arab Emirates. "I think it's time for a wholesale re-evaluation of the U.S. midterm elections, when Biden's Democrats are defending their control of the House of Representatives and Senate. OPEC+, which combines OPEC countries and allies such as Russia, agreed to steep oil production cuts on Wednesday, curbing supply in a tight market and raising the possibility of higher gasoline prices right before the Nov.

U.S. President Joe Biden expressed his disappointment Thursday that OPEC+ nations intend to cut oil production targets by 2 million barrels a day but said ...

motorists are pinched by higher gas costs, Russia relies on gas and oil sales for a large portion of its budget to help fund its war in Ukraine. It supported the production cut, which will enable Moscow to sell oil for higher prices on the global market. The OPEC+ coalition of 23 nations said the production cut, from 43.8 million barrels a day to 41.8 million, would take effect in November. But now, with crude oil prices rising again, the national average is at $3.87 a gallon, according to the American Automobile Association. with a slap in the face that will hurt American consumers and undermine our national interests.” Biden made the trip to Saudi Arabia even though during his presidential campaign in 2020 he branded the longtime U.S. rationalization of positions," he said, while acknowledging the OPEC+ production cut "is a disappointment.” Durbin’s 9/11 reference was to the 2001 al-Qaida terrorist attacks on the U.S. Fifteen of the 19 airline hijackers who carried out the attacks were Saudi nationals. “It’s time for our foreign policy to imagine a world without their alliance.” troop protection of Persian Gulf allies. In a July trip to the Mideast, Biden had pushed Saudi Arabia, the world’s second-biggest oil producer after the U.S., to hold the line against a production cut or even boost output to the global crude oil market to keep oil prices, which directly correlate to the price motorists pay for gasoline at service stations, from increasing.

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).

US legislation that could open members of Opec+ to antitrust lawsuits has emerged as a possible tool to tackle high fuel prices.

One industry concern is that the legislation could ultimately lead to overproduction by Opec, bringing prices so low that US energy companies have difficulty boosting output. Doing so would undermine the dollar's status as the world's main reserve currency, reduce Washington's clout in global trade, and weaken its ability to enforce sanctions on nation states. ClearView Energy Partners, a non-partisan research group, said Nopec, if introduced to the Senate floor, would likely get the 60 votes needed to pass the 100-member Chamber. The United States could also face criticism for its attempts to manipulate markets Saudi Arabia has rebuffed repeated lobbying during visits by Biden officials not to cut production. The White House had previously raised concerns about the Bill.

Republican Sen. Chuck Grassley on Thursday called for punishing OPEC for its production cut by passing legislation that would hold foreign oil producers ...

“My bipartisan NOPEC Act would crack down on these tactics by the foreign oil cartel,” Grassley said in a statement. “What Saudi Arabia did to help Putin continue to wage his despicable, vicious war against Ukraine will long be remembered by Americans,” Schumer said. Amos Hochsten, Biden’s top energy envoy, told CNN’s Bianna Golodryga on CNN’s New Day on Thursday the administration will “identify tools that we have to ensure that organizations like OPEC that assign quotas to their members of how much to produce are not – have a muted and less of an impact on American consumers.” [to slash oil production by 2 million barrels per day.](https://www.cnn.com/2022/10/05/energy/opec-production-cuts) The supply cut is already lifting oil and gasoline prices at a time when inflation remains very high and voters are upset with the state of the economy. The White House swiftly expressed disappointment and warned it will “consult with Congress on additional tools and authorities” to curb OPEC’s “control” over energy prices. [OPEC for its production cut ](https://www.cnn.com/2022/10/05/energy/opec-production-cuts/index.html)by passing legislation that would hold foreign oil producers accountable for colluding to fix prices.

The announcement by the Saudi-led OPEC Plus energy cartel that it would slash oil production was widely seen in Washington as a stab in the back of ...

“And the president needs to encourage investors to invest in the oil business.” The bill was more a statement than anything else since Congress is out of session until the election, but Mr. He introduced a bill with Representatives Sean Casten and Susan Wild, Democrats from Illinois and Pennsylvania, requiring the removal of American troops and defensive systems from Saudi Arabia and the United Arab Emirates. But in a statement, the White House emphasized that “there are no plans to change our sanctions policy without constructive steps from the Maduro regime.” “The trip was not essentially for oil,” the president said. Easing sanctions on Iran and Venezuela could free up more than a million barrels of oil a day, which would help lower prices and potentially replace some of the Russian barrels now sold to Chinese and Indian refineries. He has already ordered more oil to be released from the Strategic Petroleum Reserve, but since the reserve is now at its lowest level in four decades, that risks shortages in case of war or a natural disaster like another hurricane. The Saudis maintain that the production cut was not meant as a shot at Mr. Ron Klain, the White House chief of staff, has methodically tracked the price at the pump for months as it has declined, and Democrats felt renewed momentum as a result. “We’re not announcing any steps on that front, but there are measures that we will continue to assess,” Brian Deese, the president’s national economic adviser, told reporters. “We are looking at all the legislative tools to best deal with this appalling and deeply cynical action.” Biden said that “we are looking at alternatives” to oil from OPEC Plus countries.

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.”

Biden's awkward trip to Saudi Arabia in July was justified as necessary to boost ties. Now OPEC's decision to slash production is prompting recriminations.

Biden officials across a wide section of the administration — including the Energy Department, State Department and the National Economic Council — raced Thursday to draw up policy responses to the announcement. White House officials have strongly denied that the goal of the trip was to spur Saudi oil production. officials argued to Saudi counterparts that the risks of letting the price fall below that point were minimal, but the Saudis would not budge, according to people familiar with the matter who spoke on the condition of anonymity to discuss sensitive conversations. officials now fear a “return to war,” Tim Lenderking, the U.S. McGurk and Hochstein’s support for the trip began to gain favor in the White House in September 2021, as the price of oil rose and resentment in the Gulf led the United Arab Emirates and Saudi Arabia to rebuff repeated U.S. requests to increase oil output, according to senior officials and congressional aides familiar with the matter. Biden’s top aides on Middle East and energy, Brett McGurk and Amos Hochstein, pushed for the trip as a means to strengthen the relationship and improve Washington’s ability to project influence in the Middle East at a time when oil-rich states were exploring ties with Moscow and Beijing, according to U.S. officials and congressional aides, who spoke on the condition of anonymity to discuss U.S. “There was consensus across the President’s senior national security team on the importance of this trip to advance U.S. Biden had declared that human rights would be at the “center” of his foreign policy, and he said he would make the oil-rich monarchy a “pariah.” But the president also remained keenly aware of the burden soaring gas prices were having on middle-class Americans. Other officials said they did not interpret malice in the Saudi decision, but they viewed it as a shortsighted effort to maximize oil profits despite the economic and geopolitical consequences. The trip was about the Middle East and about Israel and rationalization of positions,” he told reporters.

“What Saudi Arabia did to help Putin continue to wage his despicable, vicious war against Ukraine will long be remembered by Americans,” Schumer said in a ...