“Still needs to be sold”
The US president acknowledged that a quick drop in gasoline costs for Americans is not guaranteed. Officials are weighing several options and proposals, including approaches to influence prices for Russian crude. The notion that a simple lever pull could instantly lower fuel costs is unlikely to materialize in the near term, and the same goes for food prices, according to statements at a recent press conference.
High fuel and food costs have become a sensitive political issue, potentially shaping the outcomes of looming elections. Industry analysts note that current averages reflect record pressure on consumers, with the American Automobile Association reporting a national average near four dollars and seventy cents per gallon for gasoline—an all-time high in the United States.
To cushion the impact, the United States has tapped strategic reserves in an effort to ease price pressures. Observers credit these actions with slowing further increases at the pump, even as global energy markets face ongoing volatility.
As Europe reduces its purchases of Russian oil, the administration signaled openness to measures aimed at limiting the price of certain Russian petroleum products. Officials have spoken of considering options to purchase Russian oil at a controlled rate, with the understanding that it would still be sold, just at a price lower than prevailing market levels. The exact mechanism and scope, however, have not been fully detailed by the administration.
Officials cautioned that there is no precise plan on how the United States could drive down fuel costs tied to Russian energy supplies. In response, a spokesperson from Moscow emphasized that Russia will not sell energy at a loss and that energy markets are shaped by supply, demand, and logistics, even amid sanctions and political pressure. The stance underscores the broader challenge of aligning geopolitical strategies with market realities.
i am looking for a solution
There is talk of a possible visit by President Biden to Saudi Arabia toward the end of June, tied to NATO and G7 engagements. Reports suggest the trip could be part of a broader effort to address persistent energy price pressures. Attention remains on how such a visit might influence the broader energy market and price dynamics.
Coverage notes that the Saudi crown prince has faced international scrutiny over the 2018 homicide of a prominent journalist in Istanbul, a matter that has shaped diplomatic conversations. Should a meeting occur, it would mark a significant moment in the ongoing dialogue between Washington and Riyadh. Sources close to planning echo cautious optimism about a potential invitation or meeting, while not confirming specifics. The central question remains whether any diplomatic engagement could translate into tangible steps to stabilize energy costs for consumers.
Some observers say a trip could be driven by economic imperatives tied to gasoline price trends during Biden’s presidency. Meanwhile, the administration continues to explore tools such as sectioning and draining strategic reserves to flatten price spikes at the pump, though results have not yet met expectations.
Earlier negotiations signaled Saudi patience on accelerating oil exports, with concerns about a potential oversupply or strategic reserve management cited as reasons for cautious behavior. However, recent reporting indicates that Western allies have been informed of a possible readiness to adjust refinery output to support market balance, signaling a potential shift in the energy dialogue across major producing regions. These dynamics highlight the fragile nature of the global energy landscape and the difficulty of coordinating policy across continents without triggering unintended market responses.