Trump Says US Oil Companies Are “Making a Fortune” as Gas Hits $4.29 a Gallon

2 min read
Trump Says US Oil Companies Are “Making a Fortune” as Gas Hits $4.29 a Gallon
PrimeXBT Editorial Team
Reviewed by PrimeXBT

Topics in article

President Donald Trump said US oil companies are profiting from the Strait of Hormuz disruption while Americans pay more at the pump. Gas and diesel prices have risen since the Iran war began, and the midterm elections are less than two weeks away.

President Donald Trump told a rally in Georgia on Saturday that American oil companies are earning hundreds of billions of dollars. He said, "we're making a freaking fortune".

Trump calls high oil prices temporary

Trump described oil prices as "temporarily high" and said the throttling of the Strait of Hormuz has pushed oil buyers toward American companies operating in Texas, Oklahoma, and Louisiana.

Year over year, a sample of 38 US producers and refiners grew revenues by about $140 billion, the Oil & Gas Journal reported in a Q2 report. The trade publication tied the gains to surging crude prices linked to ongoing Strait of Hormuz disruptions.

Drivers pay more for gas and diesel

Those profits, however, are not exactly shared by the American public. AAA reported that regular gas now averages $4.29 a gallon, compared with $2.98 in February, one day before the US and Israel launched surprise attacks on Iran.

Diesel has climbed as well. On Sunday, AAA put diesel at $6.35, up from $3.75 a day before the conflict began. Shipping companies rely on diesel, and higher diesel costs are often passed on to consumers as higher prices.

Midterms raise the stakes

Business Insider reported that Trump's comments are unlikely to win goodwill among voters facing an affordability crisis. The White House did not immediately respond to a request for comment.

Trump has also moved to lower gas prices. On October 9, he said he reached a deal with Russian President Vladimir Putin to import Russian diesel, which had been heavily sanctioned since the start of Russia's invasion of Ukraine. Analysts warned the move could give the Russian economy a lifeline.

Source: Business Insider

Trading involves risk.

Most traded markets

BTC / USD
-0.01% 80,508.3
ETH / USD
+0.2% 2,348.56
NEAR / USD
+1.79% 4.555
ZEC / USD
+0.7% 1,214.59
SOL / USD
+0.24% 101.59
BNB / USD
+1.37% 741.26
View all markets

Author

PrimeXBT
Our Editorial Team consists of leading experts with a proven record in the fields of trading, cryptocurrencies, blockchain and finance. We thoroughly research the sources of information in order to provide readers with quality content that serves edu...
Read author’s articles
Alert Triangle Risk Disclaimer
Disclaimer: Some past publications may be outdated. We recommend following our news to stay up to date with the latest information. For any questions, feel free to contact our support team via the chat below.
The content provided here is for informational purposes only. It is not intended as personal investment advice and does not constitute a solicitation or invitation to engage in any financial transactions, investments, or related activities. Past performance is not a reliable indicator of future results.
The financial products offered by the Company are complex and come with a high risk of losing money rapidly due to leverage. These products may not be suitable for all investors. Before engaging, you should consider whether you understand how these leveraged products work and whether you can afford the high risk of losing your money.
The Company does not accept clients from the Restricted Jurisdictions as indicated in our website/ T&C. Some services or products may not be available in your jurisdiction.
The applicable legal entity and its respective products and services depend on the client’s country of residence and the entity with which the client has established a contractual relationship during registration.

Today in markets

Browse Commodities News

Register Now

Trading involves risk

Get started in minutes

Our clients love how fast and simple our sign-up is. It takes just a few minutes to get started!

Get Started Get Started
Get started in minutes

Need Help?

Risk Warning:
Trading in leveraged products carries a high level of risk and may not be suitable for all investors.