Gasoline Prices Aren't Dropping Anytime Soon
Demand for oil is likely to be higher and supply lower than forecasts suggest.
Filling up’s getting more costly.
Photographer: Waldo Swiegers/BloombergIt wasn’t meant to go this way. When President Joe Biden announced the release of oil from the U.S. Strategic Petroleum Reserve in November, his intention was to bring down the cost of gasoline for American motorists. It hasn’t worked, and now he has few, if any, good options.
Three months ago, the U.S. administration was pressing the OPEC+ group of oil producers to open their taps more quickly in an attempt to combat rising gasoline prices and spiraling inflation. They refused and the president responded by announcing the release of 50 million barrels of crude from government-controlled stockpiles in salt caverns beneath Texas and Louisiana.