TEHRAN, Iran (AP) — Iran’s representative to OPEC says U.S. President Donald Trump should stop tweeting about wanting lower oil prices, saying that doing so has the opposite effect.
Hossein Kazempour Ardebili was quoted by the oil ministry’s website Thursday as telling Trump to “please stop,” adding that “with your frequent and indecent tweets oil prices have gone up 10 dollars.”
Trump has repeatedly called on the oil cartel to reduce prices. On Wednesday he tweeted that OPEC is “doing little to help,” adding that, “if anything, they are driving prices higher.”
Tehran blames rising prices on U.S. sanctions imposed on Iran and Venezuela, founding members of the cartel. Last month, members of OPEC agreed to pump an additional 1 million barrels of crude daily, a move that should help contain prices.
Is this psychological warfare on Iran’s part?
Wouldn’t they be happier with rising oil prices, or am I missing something?
Saudi Arabia is rigging and manipulating the world’s oil market to pay for their wahabbi jihad in Yemen. What a paragon of islamic virtue the land of the last saudi prophet is.
That’s a very good question, actually. I never really understood why oil tanked a few years ago in the first place, except that it seemed like an effort by Saudi Arabia to drive our shale oil producers out of business. It was kind of weird at the time and I still think it is to this day. Saudi Arabia supposed to be an ally so it’s weird, unless it’s just some generalized animus towards the west for interfering in middle eastern affairs.
I also had the thought that oil prices could be lowered to help China maintain their manufacturing dominance since everything they assemble has to be shipped there in the first place and then shipped back to the markets where the goods will be sold. But I’m not sure about that. (I know…why would other countries go along with that? Because they want/need cheap goods too).
anyhoo…back to your original point: Iran is very smart and wily. They do things for a reason. And like any number of other countries, I’m sure they sense weakness on the part of POTUS. They smell blood in the water, basically.
Remember, last week, Trump tweeted that he had just personally spoken to the Saudi King:
But OPEC had agreed to increase production on June 23, a week before the tweet. So Trump once again lies and falsely claims credit.
Other than the possible psychological effect on markets I fail to see how a 1 million barrel a day boost would appreciably affect world oil prices. It represents about a 1% dent in daily consumption.