1. THE U.S. PRESIDENT DOES NOT SET GAS PRICES
2. THE U.S. PRESIDENT DOES NOT SET GAS PRICES
3. THE U.S. PRESIDENT DOES NOT SET GAS PRICES
Ten points on gas prices being up:
1. Gas prices are rising.
2. This is due to the current US president starting a war with Iran. One of Iran’s retaliatory techniques has been to slow the movement of crude oil.
3. This lowers supply. Supply down = prices up. Supply up = prices down.
4. The United States is an oil exporter, yes. But the oil the United States exports tends to be “sweet” (or “light”) oil. The country still imports “heavy” crude.
5. Gasoline is produced from oil.
6. Oil is traded on the global commodities market.
7. A common “benchmark” for pricing is called “Brent crude.” This accounts for two-thirds of the global oil market.
8. The price per barrel is now up 50 percent. As of yesterday, Brent was trading at $109 a barrel. 1 Barrel = 42 Gallons. Half the price of gasoline is due to the cost of crude oil.
9. The Strait of Hormuz is a narrow channel between Iran and the United Arab Emirates (UAE). Some 20 percent of the world’s oil passes through the strait. The oil comes from Iraq, Kuwait, Qatar, Saudi Arabia and the UAE. Traffic has all but stopped.
10. Even if US-Israeli operations ceased tomorrow, Iran can continue to drive up the price of oil. It’s like they know November is coming.
