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US Officials Fret Over Russia Oil Cap Failing After OPEC Cut

  • US proceeding with plan to cap price of oil from Russia
  • Some officials worry cap may spike prices, draw retaliation
Bloomberg business news
OPEC+ Cuts Threaten Oil-Price Spike, Global Recession: IEA
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Some Biden administration officials are growing concerned that their plan to cap the price of oil purchased from Russia may backfire, according to people familiar with the matter.

The plan seeks to keep enough Russian supplies on the global market to stave off a spike in worldwide oil prices, but the proposal has been complicated since its inception and the subject of intense diplomacy with European allies. Its prospects have now been potentially undermined by the OPEC+ move to slash production by 2 million barrels per day, the people said.