Is $100 oil on tap for summer?

Crude Oil 1280x720.jpg

A surprise announcement by OPEC+ nations Sunday sent oil markets rallying in the overnight trade.

The nations say they will cut production by 1.5 million barrels per day. Overnight prices reached a high of $81.69 before they began to taper. That sent global crude oil prices up 3.3 percent, and some analysts tell Reuters that $100 oil is just around the corner.

Oil and gas prices typically go up this time of year ahead of the summer driving season, but $100 oil could send overall inflation ticking upward again just as the Federal Reserve is starting to get a handle on it.

Farmers are paying roughly $4.20 a gallon for diesel this spring planting season, which is well below the average price this time a year ago when farmers were paying upwards of $5.00 a gallon. The Sunday cuts will likely send gasoline and diesel prices up.

Sunday’s announcement to cut production was led by Saudi Arabia, which called it a “precautionary measure” to stabilize the global oil market.

Story via Reuters

Related Stories
In addition to their amazing show, RFD-TV’s “Where the Food Comes From” team also publishes a digital cookbook with recipes by people featured on the show.
As spring planting nears, Midwestern farmers are gearing up for a season filled with opportunities and challenges like market pressures and pest dynamics.
The Environmental Protection Agency (EPA) has recently unveiled a new herbicide plan, sparking concerns among soybean farmers across the United States.

LATEST STORIES BY THIS AUTHOR:
RanchHer celebrated the invaluable contributions women leading the beef industry at their panel, “Your Path to Becoming a RanchHer,” Friday at NCBA CattleCon.
The department released a new forecast for grocery store prices for 2023.
The United States is taking the next step in the process by establishing a dispute settlement panel.
An American astronaut has been growing tomatoes during his 300 days on the International Space Station.