Republicans hold their breath as energy prices swing

Congressional Republicans are nervously watching the wild fluctuations in oil prices as the U.S.-Israel war with Iran continues to wreak havoc on global energy markets.

“Congressional Republicans are nervously watching the wild fluctuations in oil prices and hoping for quick relief as the U”

POLITICO

The national average price of gasoline surpassed $3.53 a gallon Monday — up 51 cents since the start of the month — after crude oil shot up to nearly $120 a barrel.

POLITICO

Crude prices then plummeted to about $86 a barrel Monday afternoon before rising once again.

The war has shown no signs of slowing: Israel over the weekend bombed a major Iranian oil storage site and the Department of War issued a statement Monday saying, "We have Only Just Begun to Fight."

The energy shocks are forcing two of the GOP’s biggest priorities — affordability and national security — into tension as Republicans try to solidify their midterm message.

Senate Majority Leader John Thune (R-S.D.) said the U.S. increased domestic supply will help and added, "Hopefully...the operations in Iran … won’t be an extended situation."

POLITICO

President Donald Trump sent mixed signals at a House Republicans retreat in Doral, Florida, calling the U.S.-Israeli bombing campaign in Iran a "short-term excursion" and then saying the war would continue until "the enemy is totally and decisively defeated."

One anonymous House Republican told POLITICO, "If you are a Republican and not concerned right now, you are stupid," adding, "Hopefully, we will square this away sooner than later."

The White House has moved to assemble measures intended to temper price spikes, but analysts say administration actions could have limited impact while the conflict continues.

“Congressional Republicans are nervously watching the wild fluctuations in oil prices and hoping for quick relief as the U”

POLITICO

Trump announced plans to ease some sanctions on Russian oil sales, provide insurance for oil tankers transiting the Strait of Hormuz and offer military escorts to tankers in the area; releasing fuel from the Strategic Petroleum Reserve is also on the table, though administration officials said they are not ready to take that step.

Energy Secretary Chris Wright said the recent rise should be temporary and that the United States is not facing an oil shortage, and some Republican lawmakers pointed to record U.S. production as a stabilizing factor.

Trump told GOP lawmakers, "We're putting an end to all of this threat once and for all, and the result will be lower oil prices — oil and gas prices — for American families," and added, "We've done that; we've brought it very low. This was just an excursion into something that had to be done."

Democrats have introduced bills they say would lower gasoline prices and use the issue to challenge Republican messaging, though the measures currently lack paths to passage.

Senate Minority Leader Chuck Schumer (D-N.Y.) called for drawing down the SPR and introduced a bill to prohibit sales of American oil to China, and he said, "If President Trump cared about easing pain at the pump, he would act to release these reserves now."

POLITICO

Senator Sheldon Whitehouse (D-R.I.) plans to reintroduce his "Big Oil Windfall Profits Tax Act" and Sen. Mark Kelly (D-Ariz.) is proposing a temporary suspension of the federal gas tax through Oct. 1.

Senate Republican leadership called Schumer's plan hypocritical, pointing to Democrats' role in 2020 in blocking new proposed funding for the SPR.

Democrats said the war has resulted in "huge spikes in gas prices for Americans, who are now paying more at the pump than at any point in either of President Trump’s two terms."