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Gas Prices Have More Than Doubled Under Biden, Now More Than 5$ Per Gallon

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Gas Prices

The national average price of gas in the United States has more than doubled since President Biden took office – reaching over $5 per gallon for the first time ever this week, according to GasBuddy.

When Biden took office on January 20, 2021, the average price per gallon was $2.40. Last weekend, the average price per gallon reached $4.80 and has since soared to more than $5 per gallon.

Biden has attempted to blame the record high gas prices on Russian President Vladimir Putin’s invasion of Ukraine, calling it “Putin’s Price Hike” and falsely claiming that “gas pump prices are up by $2 a gallon in many places since Russian troops began to threaten Ukraine.”

However, gas prices have not increased by $2 since Russia invaded Ukraine and they have been steadily climbing since Biden’s inauguration. From January 20, 2021, to February 21, 2022, gas prices soared from $2.40 per gallon to more than $3.53 per gallon. The nearly 50 percent increase in gas prices occurred before the Russian invasion of Ukraine which occurred on February 24, 2022.

Experts believe that gas prices will continue to rise through the summer. According to Natasha Kaneva, head of global oil and commodities research at JPMorgan, the United States was going to face a “cruel summer” as gas prices dwarf their already record highs.

“With expectations of strong driving demand — traditionally, the U.S. summer driving season starts on Memorial Day, which lands this year on May 30, and lasts until Labor Day in early September — U.S. retail price could surge another 37% by August to a $6.20/gallon national average,” she wrote in a research document.

Patrick De Haan, head of petroleum analysis at GasBuddy, similarly warned that gas prices will continue to increase.

“It’s been one kink after another this year, and worst of all, demand doesn’t seem to be responding to the surge in gas prices, meaning there is a high probability that prices could go even higher in the weeks ahead,” he said. “It’s a perfect storm of factors all aligning to create a rare environment of rapid price hikes. The situation could become even worse should there be any unexpected issues at the nation’s refineries or a major hurricane that impacts oil production or refineries this summer.”

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2 Comments

2 Comments

  1. anthony manzo

    June 12, 2022 at 2:00 pm

    Now why would he worry. WE PAY FOR HIS GAS BILL. And he is taking care of ALL his wealthy. As well as the Electric car and BATTERY people. JOT does your crime family OWN any STOCK in these ompanies ??????????????????????????????

  2. john

    June 13, 2022 at 3:29 pm

    Hey Leo, everytime we get updates on the prices, we laugh, because in California $5.00 would sound nice. I paid $6 at Costco yesterday and that’s like .50 cheaper than the stations in town. We need people to vote in the elections and throw out all these nuts that don’t care about us everyday people. like the stupid congresswoman that said she had no problem paying for her gas. If we were paid $174000 a year we wouldn’t have a problem either, they don’t live in the real world.

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Economy

Atlanta Fed’s GDP Tracker Shows United States May Be In A Recession

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Joe Biden

The United States has likely entered a recession, according to the Federal Reserve’s key gauge for measuring economic activity.

The Atlanta Fed’s GDPNow measure, which tracks economic data in real time and continuously adjusts projections, says that the United States economy will shrink by 2.1% in the second quarter. A 2.1% contraction in the second quarter paired with the first quarter’s decline of 1.6% would meet the definition of a recession.

“GDPNow has a strong track record, and the closer we get to July 28th’s release [of the initial Q2 GDP estimate] the more accurate it becomes,” wrote Nicholas Colas, co-founder of DataTrek Research.

The tracker fell dramatically last week from an estimate of 0.3% after data “showing further weakness in consumer spending and inflation-adjusted domestic investment prompted the cut that put the April-through-June period into negative territory,” CNBC reported.

“One big change in the quarter has been rising interest rates,” CNBC added. “In an effort to curb surging inflation, the Fed has jacked up its benchmark borrowing rate by 1.5 percentage points since March, with more increases likely to come through the remainder of the year and perhaps into 2023.”

Last week, Federal Reserve Chairman Jerome Powell warned that the decision to fight inflation by increasing interest rates was “highly likely” to cause pain to Americans.

During the European Central Bank forum, host Francine Laqua asked Powell, “If you’re speaking out to the American people to try and help them understand how long it will take for, you know, monetary policy to go back to something that resembles normalcy … what would you tell them?”

“I would say that we fully understand and appreciate … the pain people are going through dealing with higher inflation, that we have the tools to address that and the resolve to use them, and that we are committed to and will succeed in getting inflation down to two percent,” Powell responded.

“The process is likely, highly likely to involve some pain, but the worst pain would be from failing to address this high inflation and allowing it to become persistent,” he added.

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Economy

Biden’s Fed Chairman: Solving Inflation ‘Highly Likely To Involve Some Pain’ For Americans

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On Wednesday, Federal Reserve Chairman Jerome Powell said that solving the inflation crisis is “highly likely” to cause pain to Americans but that it would be less painful than not addressing inflation.

During the European Central Bank forum, host Francine Laqua asked Powell, “If you’re speaking out to the American people to try and help them understand how long it will take for, you know, monetary policy to go back to something that resembles normalcy … what would you tell them?

“I would say that we fully understand and appreciate … the pain people are going through dealing with higher inflation, that we have the tools to address that and the resolve to use them, and that we are committed to and will succeed in getting inflation down to two percent,” he responded.

“The process is likely, highly likely to involve some pain, but the worst pain would be from failing to address this high inflation and allowing it to become persistent,” Powell added.

Powell’s comments come as inflation has reached the highest rate in more than 40 years with prices rising 8.6% from May 2021 to May 2022, according to a new report from the Bureau of Labor Statistics.

In order to bring down inflation, the Federal Reserve increased the interest rate by 0.75% earlier this month – the highest increase since 1994 – and warned of additional increases in the interest rate in the future.

“The three-quarter-point hike brings the federal funds rate to between 1.5% and 1.75%. The federal funds rate dictates what it costs for banks to borrow money from each other. And, generally, higher interest rates mean it’s more expensive for consumers to get a mortgage, obtain a loan to buy a vehicle and to carry a balance on a credit card,” NBC News reported. “The expected effect of these changes is that consumers will spend less and the heightened demand for goods — one of the drivers of inflation — will slow down.”

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