Breaking News
Investing Pro 0
Cyber Monday SALE: Up to 54% OFF InvestingPro+ CLAIM OFFER

Biden's political strategy on U.S. gas hikes? Blame it on Putin

Economic Indicators Mar 09, 2022 12:10PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. FILE PHOTO: Current gas prices are shown as they continue to rise in Carlsbad, California, U.S., March 7, 2022. REUTERS/Mike Blake/File Photo
 
TWTR
+0.00%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

By Trevor Hunnicutt, Jeff Mason and Andrea Shalal

WASHINGTON (Reuters) -President Joe Biden's strategy in grappling with the domestic fallout from gasoline price increases is for Americans to direct their anger at one man: Russian President Vladimir Putin.

Biden and his administration have coalesced around the phrase "Putin price hike" to describe the energy inflation challenges created by Russia's invasion of Ukraine and retaliatory Western sanctions.

"I'm going to do everything I can to minimize Putin's price hike here at home," Biden said in a Twitter (NYSE:TWTR) post on Tuesday.

Already battling inflation at a 40-year high, Biden on Tuesday imposed a ban on U.S. imports of Russian oil, adding pressure to crude prices holding near a 14-year peak.

The move is likely to drive up U.S. pump prices that have already risen past $4-per-gallon in many places. This stands to pose a political problem for the Democratic president, one Republicans are eager to seize on ahead of November midterm elections in which control of Congress is at stake.

So far, the White House is encouraged by Americans' response to the Russian oil ban.

A Reuters/Ipsos poll conducted on Monday and Tuesday found that some 80% of respondents - including solid bipartisan majorities - said Americans should not buy oil or gas from Russia during the conflict even if it causes gasoline prices to increase.

"Americans across the country understand that there's a price for the sanctions that we are taking to exact pressure on Putin and support the president's approach," a senior administration official said, speaking on condition of anonymity.

Still, those figures could shift against Biden as gas prices rise. The administration has already begun looking at scenarios in which oil tops $200 a barrel, a second senior administration official told Reuters.

The White House is counting on Americans, appalled by images of Ukrainian civilians being attacked by Russian forces, seeing the real culprit as Putin. Biden offered a blunt message to reporters on Tuesday as he traveled to Fort Worth, Texas.

"They're going to go up," Biden said of gasoline prices. "Russia is responsible."

Oil prices have surged more than 30% since Russia invaded Ukraine and the United States and other countries imposed a raft of sanctions.

Republicans hoping to win control of Congress from Biden's party in November have been unrelenting in their criticism of his handling of the energy issue.

In recent weeks, they have begun selling stickers that can be placed next to gas pump prices, depicting Biden pointing and saying: "I did that."

Republicans say Biden has the power to unleash far more energy production than is currently taking place in the United States, while administration officials say U.S. oil companies are not taking advantage of all available drilling permits.

The Biden administration is considering a variety of options to try to blunt the impact of high pump prices but is realistic about the pain to come.

"Obviously there are scenarios in which they could go higher. We are trying to make sure that those scenarios don't ... happen, and (are) trying to do our best to mitigate the effects of Russian aggression," the second official told Reuters.

Asked if the Biden administration could enact a "gas tax holiday" or provide other direct payments to consumers, this official said: "We're right now looking at ... all the tools that we have available."

The official also said coordination with countries around the world, including on the release of strategic oil reserves, would continue even as the administration works with domestic producers on moves to boost production at home.

The official said the administration was not considering a ban on U.S. energy exports.

"We are focused on making sure that we get relief on the global market," the official said. "The key here is making sure that that global market is sufficiently supplied."

Biden's political strategy on U.S. gas hikes? Blame it on Putin
 

Related Articles

Cuba wins China debt relief, new funds
Cuba wins China debt relief, new funds By Reuters - Nov 27, 2022

By Marc Frank HAVANA (Reuters) - China has agreed to restructure Cuban debt and provide new trade and investment credits to the beleaguered Caribbean Island nation after a meeting...

Energy & precious metals - weekly review and outlook
Energy & precious metals - weekly review and outlook By Investing.com - Nov 27, 2022 15

By Barani Krishnan Investing.com - When you hear it from Jim Cramer, you know enough people are talking about it. From oil-producing nations to day traders who are long crude,...

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email