(ReclaimingAmerica.net) – A new surge in gas prices is again harming Americans on Joe Biden’s watch, and forecasts predict “no relief in sight,” according to a report.
The average national gas price as of the end of last week stood at $3.73 per gallon for regular gas, The New York Post reports, citing roadside assistance company AAA.
That is an increase of 20 cents per gallon in absolute terms compared with the national average in June.
The more efficient premium gas has also surged by 20 cents over the past month, reaching almost $4.50 per gallon.
The highest state average is in California, where a gallon of regular gas has reached $4.95.
AAA’s figures show that in some California counties, such as Mono, outside Yosemite National Park, the price per gallon is up to a staggering $6.05.
According to AAA spokesman Robert Sinclair, much of the spike is due to the July 1 decision by OPEC+ – the Organization of Petroleum Exporting Countries and Russia – to cut crude oil production by 3.6 million barrels per day.
This equals a 3.6% decline in the global production of 100 million barrels daily.
The reported reduction came from a previous broader OPEC+ deal to reduce oil supply by 2024 to boost prices.
The alliance accounts for about 40% of the world’s crude oil production, and its decisions impact oil prices substantially.
Against that backdrop, Saudi Arabia independently slashed its output by 1 million barrels per day as of July, its most significant reduction in years.
“It could be said the production cut chickens have come home to roost,” Sinclair told The Post.
“Nearly 4% of daily output being cut has led to increased crude and gasoline prices, despite less-than-robust summer demand in the US,” he added.
In the past month, Brent crude went up 11%, reaching $82.33 a barrel, while US West Texas Intermediate crude’s price increased by 13% to $79.56.
Sinclair said another 25-cent spike in US gas prices was possible soon due to a natural calamity.
“The major X factor is a hurricane hitting the oil infrastructure of the Gulf Coast. That could send prices soaring overnight. And with water temperatures around Florida at 100 degrees, the possibility of the formation of a major storm is increased,” he explained.
