Biden Urges Oil Giants to Ramp Up Supply – Closing Bull June 17th, 2022
In this week’s Closing Bull, we’ll be discussing the Fed’s approval of the largest interest-rate hike since 1994. Biden wants oil giants to pump more oil and extract less profit. Profits of big oil companies have doubled since the last quarter of 2021. President Biden’s approval ratings have tanked with gas prices playing a part in it, and lastly, an interesting fact.
Key News This Week:
Fed approved the largest interest-rate hike since 1994.
Biden wants oil giants to pump more oil and extract less profit.
Profits of big oil companies have doubled since the last quarter of 2021.
President Biden’s approval ratings have tanked.
Read the Transcript
Hi and welcome to my financial markets’ re-cap for the week.
Another wild week for the market. One of the worst weeks since March 2020 when Covid was terrifying the world.
So, out with the height of the pandemic, I have never seen point moves like this in the S&P 500. Each and every day has a range of 100-150 points mainly to the downside.
Our Prophetick market forecast managed to grab the only positive day of the week. And it was a nice win too, but it’s a hair-raising market, and market Volatility certainly looks like it will be with us for a while.
That was the system update, what is happening in the news?
The market jumped on Wednesday this week after the Fed approved the largest interest-rate hike since 1994. The three-quarter-point hike was higher than originally anticipated, but it seemed that market participants had already priced it in. Fed Chair Powell said it’s becoming harder to cool the economy while avoiding a downturn. And in comments today said that the Fed remains committed to tackling price stability in order to help the economy and the labour market. Whether these interest hikes help the economy during a bear market remains to be seen. Personally, I don’t think they will.
In other news this week, President Biden said he wants oil giants to pump more oil and extract fewer profits.
This week he urged Chevron, Exxon, Shell, BP, and other oil giants to ramp up supply and boost refining capacity — which is at its lowest in years.
The administration had previously imposed restrictions on fossil-fuel development, so it seems that in this current inflation crisis, Biden appears to be backtracking from his clean-energy image. And it may be necessary as prices are wild.
Profits at BP, Exxon, Shell, and Chevron more than doubled from 2021 last quarter. And oil companies plan to spend billions on buybacks and dividends for shareholders. Biden said the soaring profits are “not acceptable.”
And of course, Biden’s approval ratings have tanked ahead of midterms, and gas prices play a huge part in that, so it’s no wonder he is turning on the oil giants.
Interesting Fact Of the Day
Did you know that the world’s shortest commercial flight is a flight that goes between two islands in Orkney, Scotland, the flight lasts less than a minute. Now that’s a short-haul!
That’s it from me, It’s Friday, time to down tools, thanks for watching, and bye for now.
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