US orders record 50 million barrels of oil released from America’s strategic reserve to bring down gasoline & other costs

• Integrity Education, Delhi
• 24, Nov 2021

United States President Joe Biden has ordered a record 50 million barrels of oil released from America’s strategic reserve, aiming to bring down gasoline and other costs, in coordination with other major energy consuming nations including India, the United Kingdom and China. The US action is focused on helping Americans coping with higher fuel and other prices ahead of Thanksgiving and winter holiday travel. Gasoline prices are at about 3.40 dollars a gallon, more than 50 per cent higher than a year ago, according to the American Automobile Association.

Mr Biden at the White House said that their combined actions will not solve the problems of high gas prices overnight, it will make a difference. The government will begin to move barrels into the market in mid to late December.

Oil prices had dropped in the days ahead of the announced withdrawals, a sign that investors were anticipating the moves that could bring a combined 70 million to 80 million barrels of oil onto global markets.

Sources : News On Air