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Gas Prices: Feds Considering Tapping Into Oil Reserve As Prices Continue To Hike

Rising Gas Prices May Lead To Tapping Federal Oil Reserve

As gas prices continue to climb, the White House is reportedly considering tapping into the Strategic Petroleum Reserve in order to ease the pain at the pump for drivers.

The anonymous official who spoke on the possibility of releasing oil from the federal reserve added that the US is monitoring gas prices first to see if they fall, reports CBS News.

On average, gas prices in the US have risen 39 cents since the beginning of July, mainly due to the increase in oil prices as well as problems with refineries in some regions. The average price for a gallon of gas has increased 18 cents in the past two weeks alone.

The price of oil did an about face after a three day gain once rumors hit about the White House considering a tap into the federal reserve. Nick Trevethan, senior commodities strategist at ANZ Research in Singapore, stated:

“Overnight the trigger for the weakness was, potentially, news reports that the U.S. will consider releasing strategic petroleum reserves, and that seems to be weighing on the market.”

Gas prices have been a hot topic in the US this summer, with the increase in prices seen, despite an earlier estimate that the cost of a gallon of gas could dip below $3 by Thanksgiving. Fox News reports that Deputy Press Secretary Josh Earnest stated that, “A release of the Strategic Petroleum Reserve is an option that’s on the table,” but added that he didn’t “have anything to announce further on that topic at this point.”

The petroleum reserve has been tapped once already by the Obama administration, and, with gas prices putting yet another crimp in the President’s re-election efforts, he may consider tapping the reserve again to help drivers deal with gas prices should they climb too high.

Talks about tapping the petroleum reserve because of rising gas prices come in cycles, and usually leads to a partisan dispute, with Democrats favoring the decision while Republicans instead argue that the rising oil costs are a good reason to explore for more domestic oil and drilling.

Do you think that the White House should tap the Strategic Petroleum Reserve in order to combat high gas prices?

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Comments

43 Responses to “Gas Prices: Feds Considering Tapping Into Oil Reserve As Prices Continue To Hike”

  1. Sophia Smith

    If I could give you one thing in life, I would give you the ability to see yourself through my eyes, only then would you realize how special you are to me. Would you want to fall in love? COME to —A g e matching. C~oM——.

  2. Joseph Smith

    it's all p[olitical wrangling. there is no real excuse for the gas prices to be so high. nothing has changed that much since the mid to late 80's, except maybe the greed factor. we should be no higher than the prices were during the mid 90's. it's all price gouging baby, all price gouging.

  3. Walter Lee

    Tapping into the oil reserves is not necessary. The jump in oil/gas prices is due to future contract speculation which is supposedly on the risk of war in the middle east. The some of the speculators include the big banks (e.g. members of Federal Reserve Board) as well as wall street hedge fund types. Raising the overnight and short term interest rates for banks and other financial firms ( limiting credit lines to speculators) will curb oil futures speculation and bring down gas prices gently. The White House should remain focused in on statesmanship rather than gunboat diplomacy in the middle east will help ease future prices as well. The refinery problems will get fixed in time. USA demand for oil/gasoline is low – we are now net exporting both oil and natural gas. On the plus side – Higher oil and natural gas prices means higher profits for US oil and natural gas exports (reducing our nation's trade deficit). It's like that saying "A cobbler's children wears no shoes." ( a prudent businessman avoids consuming what he sells to make a living.

  4. Arthur Louhoff

    RISING GAS PRICES ARE CAUSED BY THIS ADMISTRATION NOT LOOKING FOR NEW SOURCES OF OIL IN THIS COUNTRY THUS GIVING WAY TO OIL SPECULATORS.

  5. Aimee White

    The "Fed" considers tapping it?
    Why not just say the Damn Truth! The controlling Democraps, Obama, considers dumping oil in hopes that the news would lower gas prices and get Obama elected by the sheeple that think things are improving, when they aren't!

  6. Aimee White

    They are rising because Obama's regime has pulled the permits approved under the Bush Administration, and taking years (that once took the former administration months) to approve the new permit applications!
    Obama is creating the gas prices that him and Chu wanted for Americans, the fuel prices that Europeans pay!

  7. Gordon Campbell

    Get the Speculator's out of WALL SREET… this Gouging is Criminal… The U.S.A. will not support Mass Transit so it's citizen's have to buy cars & gas. Not so in the rest of the World. Cars are a symbol of success in the developing World in the US you can't get around without them, What a Scam………..

  8. Eric Risjord

    So..the president of the US is intentionally raising gas prices? Why? How does he profit? This sort of thinking is bizarre.

  9. Eric Risjord

    So..the president of the US is intentionally raising gas prices? Why? How does he profit? This sort of thinking is bizarre.

  10. Brian A. Gonzalez

    makes no sense when the House is seated by a bunch of Republicans. If I survived Bush you can survive Obama. You can fix that many problems in 4 years that was created in 8 years.

  11. Party Lite by Val

    I think Obama should step down and let someone who knows what they are doing take over. Prices should never have gotten to this point to begin with when we have places to drill for oil for ourselves.

  12. Skip Vinson

    Speculation, Gas prices go up if they speculate someone in the white house is going to fart. It's just another rip off of the middle class workers that have to have gas to back and forth to work so they can pay taxes for the theives on the hill can give themselves raises and pad their retirement plans. If obama gets elected again you will have to bow to the east to pray.

  13. Mick Dundee

    Its been 4 years of record high prices. Now right before the election odumbo does this! What a loser we need real leadership in the White House. ROMNEY 2012

  14. Anonymous

    You should only tap the reserves in the case of a gas shortage!

  15. Jed Dunkin

    Want low gas prices, simply get the criminals in congress to pass a law that oil can no longer be traded by the rats on wall street. That the oil must go from driller to refiner with no middle man that way the oil companies can't buy the oil for $25.00 a barrel and then sell it to themselves at $100.00 a barrel then charge $3.75 a gallon and then say it due to " high cost for a barrel of oil". Besides that our government said deregulation was so great to drive down the prices of other industries so why don't we let other countries that have oil come here put up stations and compete with the hand full of major oil companies and they can all race the price to the bottom.

  16. Kimberly Theskynolimit JS

    so ummm what did u say when gas prices were right at 4 bucks a gallon back in Sept 08? did you feel Bush should step down as well? or did u ignore that tidbit? smmFh!!!!

  17. Kimberly Theskynolimit JS

    bill o'reilly had a show on rising gas prices during Bush admin and the experts along with all of fox news said the president does not control oil prices…..do you all have selective amnesia or something? gtfohwtbs

  18. Anonymous

    Haven't they been talking about tapping into reserves for a year now? treating americans like israelies. America to it's people and israel: yes, give it one more day for the sanctions (oil prices) to kick in. You can trust U.S. :)

  19. Anonymous

    Brian A. Gonzalez you forget that when Bush was in office, the Dems had the majority most of the time. We all barely survived the Dems then, now were really suffering under Obama. OH and I'm a Democrat who voted for him as well, but I can't wait to vote against him. At least Bush could make a damn decision.

  20. Gabe Jaramillo

    wheels_on_sunshine Yes Bush could make decisions. Lets see, Wage a war on lies abot weapons of mass destructin, pass legislation to give big tax breaks to the very rich; decisions that Osama ben Laden was not a concern; allow the oil industry to right its own regulations; allow the big banks to ruin the economy; allow Wall Street to run amok; blow the biggest surplass that was inplace when he took office. Its people like you Wheels on sunshine (maybe your name should be "Wheels where the Sunshine cannot enter your rear end". You are probably one of those right wing dems who watch Fox News. And as for you not voting for Obama, good who needs a misinformed democrat vote like yours anyway. You can throw your vote for a losing cause and that is Romney and Ryan.

  21. Gabe Jaramillo

    wheels_on_sunshine Yes Bush could make decisions. Lets see, Wage a war on lies abot weapons of mass destructin, pass legislation to give big tax breaks to the very rich; decisions that Osama ben Laden was not a concern; allow the oil industry to right its own regulations; allow the big banks to ruin the economy; allow Wall Street to run amok; blow the biggest surplass that was inplace when he took office. Its people like you Wheels on sunshine (maybe your name should be "Wheels where the Sunshine cannot enter your rear end". You are probably one of those right wing dems who watch Fox News. And as for you not voting for Obama, good who needs a misinformed democrat vote like yours anyway. You can throw your vote for a losing cause and that is Romney and Ryan.

  22. Gabe Jaramillo

    Yes Arthur and Aimee, everytime the gas prices rise Obama is to blame, the gas prices go down and the right wing idiots like you don't even make a comment. I suppose that it was Obama and the Democrats who went and set fire to that refinery in California just to have the oil and gas prices shoot up. Seems like idiots like Arthur and Aimee come out of the woodwork just like termites do. Get a life and stop your idiotic blame the game. The president nor anyone in the US has any control on the gas prices so shut up or move to Venezuela where the gas prices are down to around .13 cents per gallon. People like you both make me sick with your right wing idiotic blame games.

  23. Gabe Jaramillo

    Seems as if Ed and Brian know more than the experts know on when or when not to tap the reserves. As for Ed Sales he (Obama) is a leader something that you obviously do not recognize in what makes a Presidential leader.

  24. Estaben Rea

    Gabe, no need to get your panties up in a wad. Cause of Your president, not mine that fuel prices rose almost $2.45 during his watch. In my opinion, I would still rather have President Bush back in office. People were still working, going on vacations etc etc. Umpalumpa Obama has screwed this country up.

  25. Ira Ellenbogen

    Gas prices will continue to rise as long as cars use gasoline. Instead of putting a band-aid on the problem, why aren't the politicos pushing for a technology initiative to move to solar power for cars and homes. Hmm. Could it be that the only companies fund their campaigns? BP has a solar division. But what about gross polluter, Chevron?

  26. John Tucker

    Gabe Jaramillo. You are a moron. There are so many spelling mistakes in your rant that you should be embarrassed. Stop posting. Idiot.

  27. Todd Hutchinson

    who cares, if they tap into the reserves, they will lower prices about 5 cent a gallon, two weeks later they will raise them back over 30 cents a gallon. prices are just as expensive now that oil is 80 dollars a barrel, as they were when they were 120 dollars a barrel.. big oil, getting richer, little people getting poorer.

  28. Todd Hutchinson

    who cares, if they tap into the reserves, they will lower prices about 5 cent a gallon, two weeks later they will raise them back over 30 cents a gallon. prices are just as expensive now that oil is 80 dollars a barrel, as they were when they were 120 dollars a barrel.. big oil, getting richer, little people getting poorer.

  29. Rick McPherson

    Nice hat Brian…Goodwill?
    Obama's four is far worse than Bush's eight He has done nothing but pass the buck to the next generation. The only visible growth is artificially propped up on borrowed money. That's why Obama wants to pass another stimulus. As with every other problem this nation is facing, Obama wants to put off the impending crash until after the election.
    Obama has added nearly $6 Trillion added to the debt in less than four years. Obama has added more to the debt in four years than the previous three administrations added in twenty years. Look it up When Reagan left office in '88 the debt was $4 Trillion when Bush left in '08 the debt was $10 Trillion. That's $6 Trillion in twenty years. Obama has added that in four with no end in sight.

    Obama thinks he inherited a mess in '08? Just look at the mess he'll inherit if he is re-elected….

  30. Rick McPherson

    Getting sick Gabe? Hope you don't have Obama-care…
    I guess O-Blame-A had nothing to do with devastating the coal industry? …or blocking the Keystone XL pipeline? …or halting deep water drilling in the US? …or funding oil exploration in Brazil? (the oil derrick that ended up in Brazil came from the Gulf)
    Now he wants to consider his re-election an "emergency" and use the strategic oil reserve to pander to voters?
    O-Blame-A has no one to blame but himself….

  31. Gee Davis

    You won't get any replies… Republicans act as if the whole economy suddenly started going south in January of "09". Like Bush and his b.s. War and "hawkish" policies didn't happen.

    IMO we need to look into how speculators are allowed to drive up prices and reap crazy profits while us dummies(middle-class working folks) are left to grumble every time the price rises. Gas goes downward- pennies at a time, dribs and drabs but- The other day I was at the pump and the gas went-up 20-cents!!! I filled my tank at the old price instead of putting in $20. That's absurd! I never saw that before. The price went up as I was pumping my gas. geesh… Whomever becomes President, we need to look into how Gas prices are set. WE ARE GETTING HOSED!

  32. Bob Richards

    Gabe, we know you are NOT TOO BRIGHT… So let me help you…. Bill Clinton went before Congress and proclaimed that Saddam had WMDs on Feb.4th 1998, he again made the same statement on Feb 17th 1998 … Madeline Albright on Feb 18th, 1998 made the claim that Saddam had the weapons… I could go on and on..

    John Kerry and other Democratic Leaders in the U.S.Senate send a letter to Clinton on Oct 9th 1998 demanding that Saddam be stopped from using the weapons… Nancy Pelosi on Dec 16th 1998, demands that Saddam be stopped from using WMDs… AL Gore on Sept 23rd 2002 says that Saddam has WMDs… John Kerry and Hillary Clinton make speeches before Congress that Saddam has WMDs and the US MUST invade…. These speeches are given on Oct 9th and Oct 10th 2002……

    Do I really have to go on, DUMBSHIT??????????????????????????????????

  33. Douglas Beckman

    This news article sounds like only for high strung bull head republican's who have nothing to complain about, my question is for all the baby boomers that are republican's, what have the White house Republican's done for the baby boomer's? All you Republican baby boomers need to pull your head out of your rear ends, & open your eyes God gave everyone.to realise that the republican's that are in the White house have taken the middle class families out of the picture altogether, there is only two classes of people the very rich republicans, and the poor working class democrats.
    the way I see it with President Obams's Democrat's White House Power, President Obama if he sees it fit to help ease prices at the gas pumps, let be as the President went to college not to be a dumb politician, it's his duty to step up to the plate, and do what's best for the U.S. before the republican's that have power in the White House don't continue to.
    destroy, and continue to sell our nation out to China, as the republicans keep having ther way's, so when is China.
    coming to the White House coming to Washington D.C., and demanding the White House to hand over the keys so they.
    can set up to roll out the red carpet, & take over to make this China 2 as they already own this nation, what's to stop them, for ordering the Federal Reserve, to come in, & totally shut down our green money,& order the Federal.
    Reserve to start printing knew money currancy with different colors half red, and half green money, and below say the Red China Come To Terms To Be Partnership With The United States Of America To Be Able to Bring Our Two, Great Goverment's Together To Continue Our Success To Be Ablle To Unite Us In Partnership.

  34. Arthur Louhoff

    NO, BUT IT WAS UNDER HIS WATCH. OBAMA SAID IN 2008 UNDER HIS POLICES THAT GAS PRICES WOULD RISE A LOT AND THAT IS WHAT HIS BASE WANTS1