{"id":1963367,"date":"2023-07-03T14:30:04","date_gmt":"2023-07-03T18:30:04","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/new-russian-and-saudi-oil-cuts-tighten-markets-and-threaten-gas-price-increase-2\/"},"modified":"2023-07-03T14:31:31","modified_gmt":"2023-07-03T18:31:31","slug":"new-russian-and-saudi-oil-cuts-tighten-markets-and-threaten-gas-price-increase-2","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/new-russian-and-saudi-oil-cuts-tighten-markets-and-threaten-gas-price-increase-2\/","title":{"rendered":"Russian and Saudi oil cuts tighten markets, risk gas price surge."},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">22<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fnew-russian-and-saudi-oil-cuts-tighten-markets-and-threaten-gas-price-increase-2%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1963367&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><h2>Oil Prices Rise as Saudi Arabia and Russia Announce Supply Cuts<\/h2>\n<p>Exciting news in the world of oil as Saudi Arabia and Russia make headlines with their plans to impose additional supply cuts for the month of August. These cuts, amounting to approximately 1.5% of global supply, have the potential to impact gas prices for drivers across the United States in the coming months.<\/p>\n<h3>Saudi Arabia&#8217;s Commitment<\/h3>\n<p>Saudi Arabia has announced that it will maintain its supply cut of 1 million barrels per day throughout August. The kingdom has even hinted at the possibility of extending these cuts further if global demand remains weaker than anticipated. As a result, Saudi Arabia&#8217;s daily production will drop to just 9 million barrels per day, marking its lowest point in several years.<\/p>\n<h3>Russia Joins the Effort<\/h3>\n<p>Not to be outdone, Russia has also pledged to reduce its oil supply by 500,000 barrels per day in August. Deputy Prime Minister Alexander Novak stated that this reduction will be achieved by cutting exports to global markets. Additionally, Russia aims to decrease its production by the same amount, likely due to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/new-russian-and-saudi-oil-cuts-tighten-markets-and-threaten-gas-price-increase\/\" title=\"Russian and Saudi oil cuts tighten markets, risk gas price surge.\">limited crude oil storage capacity<\/a>.<\/p>\n<p>These announcements from the world&#8217;s two largest oil producers have already caused prices to climb. Futures for international benchmark Brent crude rose as high as $76.60 per barrel, while U.S.-based West Texas Intermediate saw a 54-cent increase, reaching upwards of $71.18 per barrel.<\/p>\n<h3>Implications for Gas Prices<\/h3>\n<p>These supply cuts come at a time when global crude demand has been lagging, primarily due to slower-than-expected Chinese demand recovery and fears of a U.S. recession. However, analysts anticipate a recovery in demand during the second half of the year.<\/p>\n<p>Unfortunately, these higher oil prices will likely be passed on to drivers, as <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/oil-group-blasts-biden-tweet-tells-intern-who-posted-this-to-take-econ-101\/\" title=\"Oil Group Blasts Biden Tweet, Tells \u2018Intern Who Posted This\u2019 To Take \u2018Econ 101\u2019\">crude oil accounts<\/a> for more than half of U.S. gasoline prices. While the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/gas-prices-reach-6-year-high-amid-shortages\/\" title=\"Gas Prices Reach 6-Year High Amid Shortages\">national average gas price<\/a> currently stands at $3.53 per gallon, which is significantly lower than last year, it is still relatively high compared to historical averages.<\/p>\n<p>Andrew Gross, spokesperson for AAA, acknowledges the decrease in gas prices compared to last year but emphasizes that they remain relatively high. He points out that the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/new-russian-and-saudi-oil-cuts-tighten-markets-and-threaten-gas-price-increase-2\/\" title=\"Russian and Saudi oil cuts tighten markets, risk gas price surge.\">previous record average high price<\/a> for gas on July Fourth was $4.10 in 2008, while the low was $1.39 in 2001.<\/p>\n<p>Patrick De Haan, the head of petroleum analytics at GasBuddy, shares cautious optimism about U.S. gasoline prices this summer compared to last year. However, he warns that unforeseen events, such as natural disasters or hurricanes, could quickly change the situation.<\/p>\n<p>Overall, while there may be relief compared to last year&#8217;s sky-high prices, drivers should still be prepared for the possibility of increased gas prices in the coming months.<\/p>\n<p><strong>Click here to read more from The Washington Examiner.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>impose extra supply cuts in August, along with Russia, causing oil prices to rise. This move, reducing global supply by about 1.5%, may lead to higher gas prices for US drivers in the latter part of the year. Saudi Arabia confirmed its commitment to this action.<\/p>\n","protected":false},"author":1,"featured_media":1963369,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[538],"tags":[],"class_list":["post-1963367","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-washington-examiner"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1963367","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1963367"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1963367\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1963369"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1963367"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1963367"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1963367"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}