Billionaire oil executive John Catsimatidis warned this week that the latest production move by OPEC will have a major impact on gas prices in the US. Speaking on a talk show hosted by WABC 770 AM, which is owned by his Red Apple Media company, Catsimatidis stated that the cut in oil production led by Saudi Arabia would mean gas prices will immediately go up by at least “10 cents, maybe even 15 cents” per gallon. "We are in an economic war," he declared.
Catsimatidis also warned of a new world alliance consisting of China, Russia, Saudi Arabia, Brazil, Venezuela, India, and Pakistan. He blamed the reduction of US oil drilling as the root problem, stating that the country could be an oil exporter and control the world market. President Biden has “ceded control” of the “world market” for oil with anti-drilling policy, Catsimatidis said.
Catsimatidis went on to explain that the new oil crunch began with China and Russia making an alliance, and Saudi Arabia's hatred of the White House. "China allied with Saudi Arabia, and Saudi Arabia allied with Iran last week. Then China allied with Brazil. We're losing all our allies," he stated. He also mentioned that Japan had broken with Washington on the cap of $60-a-barrel oil, choosing instead to buy whatever they need from the country that offers the best price.
Catsimatidis predicted that the American poor and middle class would be hit the hardest, and that massive sums of capital would move from North America to China, Russia, and Saudi Arabia. He stated that during the last cycle, when President Biden broke with the oil industry, the price of oil rose from $55 to $120 a barrel, while $1 trillion of wealth moved from North America to Russia and Saudi Arabia.
As the price of oil soared to over $80 a barrel in New York this morning, Catsimatidis declared that the impact on gas prices and other products would be immediate. "All the food manufacturers that I predicted would start lowering prices [in response to what had been lower oil prices] – fuhgeddaboudit!" he exclaimed.
Jerry Rogers is the editor of RealClearPolicy and RealClearHealth and the host of the 'Jerry Rogers Show' on WBAL NewsRadio. Follow him on Twitter @JerryRogersShow.
