On Tuesday, President Biden criticized gas stations for supposedly being slow to reduce the price of fuel in response to falling oil prices.
Biden complained that although crude prices dropped significantly last month, it took a while for the decrease in price to reach the customer at a meeting with economic advisers on Monday.
“We haven’t seen the lower prices reflected at the pump though. Meanwhile, oil and gas companies are still making record profits — billions of dollars in profit,” the president said Monday. My message is simple. To the companies running gas stations and setting those prices at the pump: Bring down the prices you’re charging at the pump to reflect the cost you pay for the product.”
Insider reported on Biden’s remarks, which were published by the White House.
The president urged petroleum outlets to give customers their savings more swiftly.
According to Bob Bilbruck, CEO of the business planning consultancy Captjur, Biden was completely off the mark.
Due to their thin profit margins, gas station operators are always under pressure from the station next door to keep their prices low.
Tuesday saw a slight countrywide increase in the average price of a gallon of gasoline, rising to $3.75. This is a 17% increase over the $3.19 per gallon price of the previous year.
Officials in the Biden administration celebrated the reduction in petrol prices since mid-June, when they hit a record high of $5.02.
The 99-day trend of declining gas prices was broken last week when prices for the first time increased.
The price of gasoline mostly reflects movements in the price of crude, and since mid-June, both the US benchmark and the international Brent have fallen due to mounting concerns about a worldwide recession that would lower demand for energy.
Tuesday’s closing price for US crude increased $0.73 to $77.44 a barrel. A barrel of Brent crude increased 1.32% to $85.17.
