Donald Trump readies bold action as oil prices jump
Donald Trump, President of the US (photo: Getty Images)
US President Donald Trump is considering several options to curb oil prices, which have exceeded $100 per barrel due to the war in Iran, according to Reuters.
The White House's intentions reflect its concern that rising oil prices will harm American businesses and Americans ahead of the November midterm elections. Republicans hope to maintain control of Congress.
US officials have held talks with representatives of the G7 countries regarding a possible joint release of crude oil from strategic reserves. However, this is just one of several possible measures.
Furthermore, among the options being studied are limiting exports from the USA, intervening in the oil futures markets, repealing certain federal taxes, and waiving the requirements of the Jones Act (which mandates that domestic fuel transportation be carried out only by US-flagged vessels).
The Trump administration is also exerting diplomatic pressure on the Persian Gulf's allied countries to help restore oil production and transportation.
Rapid rise in oil prices
The conflict in the Middle East has led to a sharp reduction in shipping through the Strait of Hormuz - a key route for oil and gas transportation.
Iran is effectively restricting vessel movements in this area, raising fears of prolonged oil supply disruptions. Against this backdrop, oil prices began to rise rapidly, surpassing the $ 100-per-barrel mark.
Earlier, Trump stated that the sharp rise in oil prices following the start of the US and Israel's operation against Iran is a small price to pay for security. In his opinion, the increase in oil prices is a short-term phenomenon.
At the same time, US Treasury Secretary Scott Bessent stated that Washington is considering easing restrictions on Russian oil.
