OPEC Cuts "Worst Possible Moment": US Official

OPEC’s recent decision to cut oil production targets have come at the “worst possible moment” according to Barbera Leaf today – a senior US State Department Official.

• The move will add to global inflationary pressure, she said.
• “We’re barely, all of us, globally coming out of the economic effects of the pandemic, and the knock-on effects, economic effects of Putin’s war has further sent economies reeling,” she said. “So adding to inflationary pressures from energy is simply the worst possible moment to do so.”
• The move has soured relations between Riyadh and the White House, being seen a snub to Biden’s trip to the Middle East earlier in the year where he was assured OPEC would support the oil markets. Higher domestic gasoline prices are a key factor weighing on the Biden administrations popularity. The US has suggested it may retaliate by limiting arms support for Saudi.