After Democrat President Joe Biden folded and went to Saudi Arabia in a desperate bid to drive down oil prices, OPEC and allied oil-producing countries have now announced they will cut oil production.
In July, Biden visited Saudi Crown Prince Mohammed bin Salman to beg for help in lowering gas prices after previously bashing the country’s leadership, as Slay News reported.
During the 2020 election campaign trail, Biden blasted Saudi Arabia as a “pariah state.”
However, during his Middle East trip to ask foreign nations for help solving his energy crisis, Biden folded in front of the world’s media to fist bump with Saudi leader MBS before they had a private meeting.
Now, in an embarrassing blow, the Saudis have just pulled the rug from under Biden by cutting oil production rather than increasing it.
“Biden just got clowned by OPEC,” Republican congressional candidate Robby Starbuck said on Twitter.
“He went to Saudi Arabia and begged for cuts to bring down the price of gas instead of unleashing oil production in the US. A few months later they turned around to work with Russia to cut oil output which raises the price of oil.
“Biden’s a failure.”
Election Wizard said: “52 days after President Biden traveled to Saudi Arabia, the kingdom has led OPEC+ into cutting oil production: quotas will be reduced by 100,000 barrels per day and further reductions remain on the table.”
In the last meeting the US issued a statement thanking opec for the increase… I wonder if they will say something now 🙂 #OOTT
— Amena Bakr (@Amena__Bakr) September 5, 2022
BREAKING: 52 days after President Biden traveled to Saudi Arabia, the kingdom has led OPEC+ into cutting oil production: quotas will be reduced by 100,000 barrels per day and further reductions remain on the table.
— Election Wizard 🇺🇸 (@ElectionWiz) September 5, 2022
BREAKING: OPEC and allied oil-producing countries, including Russia, to cut their supplies to the global economy by 100,000 barrels per day, underlining their unhappiness with crude prices that have sagged because of recession fears. https://t.co/zFz0oGs0Jh
— The Associated Press (@AP) September 5, 2022
According to ABC:
Oil producers such as Saudi Arabia have resisted calls from U.S. President Joe Biden to pump more oil to lower gasoline prices and the burden on consumers.
OPEC+ has stuck with only cautious increases to make up for deep cuts made during the COVID-19 pandemic, which were finally restored in August.
Since then, growing worries about slumping future demand have helped send oil prices down from June peaks of over $120 per barrel, cutting into the windfall for OPEC+ countries’ coffers but proving a blessing for drivers in the U.S. as pump prices have eased.
The supply cut for October is only a small fraction of the 43.8 million barrels per day under OPEC+ production goals, but wrong-footed several market analysts’ predictions of no change in output.
The amount of oil per day “may seem negligible, but the message from today’s cut is clear: OPEC+ thinks they’ve fallen enough,” Columbia University energy policy expert Jason Bordoff tweeted.
Oil prices jumped after the announcement. U.S. crude rose 3.3%, to $89.79 per barrel, while international benchmark Brent was up 3.7%, to $96.50, after the decision.