The price of oil just dropped to a 6 year low, $43.08 a barrel. This was caused by a surge in output. Much of the added output was from Iran, and was made possible by the expected approval of the proposed nuclear deal.
Sanctions have long restricted Iran’s allowed oil output. So Republicans opposing the Iran nuclear deal will directly hurt your pocketbook. And these are the same Republicans who want the US to drill drill drill for oil – whether it is shale oil that is polluting our water sources, or offshore causing massive oil spills – to keep oil prices low.
One hopes that even if the US doesn’t approve the deal, virtually every other country will. So Iran will be able to pump even more oil, keeping energy prices down.
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$40 oil delays that drill, drill, drill, aspect. Rick Perry’s “Texas miracle” is evaporating.
It’s a good thing that refinery capacity is not being expanded to keep up with crude output, or fuel prices would be even lower. And consumption likely higher.
And recovery from shale would be even less relatively economical than it already is.
Peace, in many ways, is bad for business.
I tell people that if you don’t like the low gas prices (counties are suffering due to the lack of tax money coming in) blame Obama.