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Tag: Oil and gas industry

  • Putin tempts Turkey, suggests making it Europe’s new gas hub

    Putin tempts Turkey, suggests making it Europe’s new gas hub

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    ANKARA, Turkey — Russian President Vladimir Putin on Thursday doubled down on his proposal to turn Turkey into a gas hub for Europe after deliveries to Germany through the Baltic Sea’s Nord Stream pipeline were halted.

    Putin floated the idea of exporting more gas through the Turk Stream gas pipeline running beneath the Black Sea to Turkey as he met with Turkish President Recep Tayyip Erdogan on the sidelines of a regional summit in Kazakhstan.

    It’s the second unlikely energy proposal that Putin has pitched in as many days, with European leaders calling Russia’s cuts in natural gas a political bid to divide them over their support for Ukraine. It’s created an energy crisis heading into winter that has fueled inflation, forced some industries to cut production and sent utility bills soaring.

    “This is just another attempt by Russia to use gas as a geo-strategic tool to weaken EU and NATO countries,” said Simone Tagliapietra, an energy policy expert at the Bruegel think tank in Brussels.

    Russia was “tempting Turkey to becoming an energy hub — a long lasting strategic aim of the country — while trying to create new divisions among European countries,” the analyst said, adding that Putin’s strategy was not likely to succeed.

    A day earlier, Germany rejected Putin’s proposal to step up gas flows to Europe via a link of the Nord Stream 2 pipeline under the Baltic Sea – a pipeline that has never been operational. Moscow has cut off the parallel Nord Stream 1 gas pipeline over what it claimed were technical problems.

    The Russian leader first voiced the proposal on Wednesday, saying that Russia could increase the volume of its gas exports to Turkey through the Black Sea pipeline.

    “We could … make the main routes for the supply of our fuel, our natural gas to Europe through Turkey, creating in Turkey the largest gas hub for Europe — if, of course, our partners are interested in it,” Putin told a Moscow energy forum.

    On Thursday, he said the hub could help regulate “exorbitant” prices. “We could easily regulate (prices) at a normal market level, without any political overtones,” Putin said.

    “Putin is in a desperate situation. Nord Stream 1 and 2 are not operational and are unlikely to be operational for a long while,” said Mehmet Ogutcu, chairman of the London Energy Club. “Europe has made clear that it will not enter an engagement (with Russia) as long as the war in Ukraine continues.”

    “Turkey remains Putin’s only option,” he said.

    Ogutcu said Turkey was likely to tread carefully, wary of further increasing its dependence on Russia.

    “There is a delicate balancing act (by Turkey). If the balance tilts too much toward Russia this will damage (Ankara’s) relations with the West,” Ogutcu said.

    Erdogan did not comment publicly on the proposal but Putin’s spokesman, Dimitry Peskov said Turkey has reacted positively to the idea. Officials from Erdogan’s office could not immediately be reached for comment.

    Turkey’s state-run news agency however, quoted Turkish Energy Minister Fatih Donmez as saying on Wednesday that it was “too early to assess” the proposal.

    “Technically it is possible,” Anadolu Agency quoted Donmez as telling reporters at the same Moscow energy forum. “For such international projects, technical, commercial and legal evaluation and feasibility studies need to be conducted.”

    NATO-member Turkey, which is depending on Russian for its energy needs and tourism, has criticized Moscow’s actions in Ukraine but has not joined U.S. and European sanctions against Russia. It has maintained its close ties with both Moscow and Kyiv and positioning itself as a mediator between the two. Ankara recently helped broker key deals that allowed Ukrainian to resume grain exports and led to a prisoner swap between Ukraine and Russia.

    Although Russia is still conveying gas to Europe via Ukraine, the amount has plummeted drastically with the two Baltic pipelines out of commission.

    The Nord Stream 2 pipeline never came on stream because Germany blocked its operation just before Russia launched its invasion of Ukraine on Feb. 24.

    —-

    Litvinova reported from Tallinn, Estonia. David McHugh contributed from Frankfurt.

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  • Saudis say US sought 1 month delay of OPEC+ production cuts

    Saudis say US sought 1 month delay of OPEC+ production cuts

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    DUBAI, United Arab Emirates — Saudi Arabia said Thursday that the U.S. had urged it to postpone a decision by OPEC and its allies — including Russia — to cut oil production by a month. Such a delay could have helped reduce the risk of a spike in gas prices ahead of the U.S. midterm elections next month.

    A statement issued by the Saudi Foreign Ministry didn’t specifically mention the Nov. 8 elections in which U.S. President Joe Biden is trying to maintain his narrow Democratic majority in Congress. However, it stated that the U.S. “suggested” the cuts be delayed by a month. In the end, OPEC announced the cuts at its Oct. 5 meeting in Vienna.

    Holding off on the cuts would have likely delayed any rise in gas prices until after the elections.

    Rising oil prices — and by extension higher gasoline prices — have been a key driver of inflation in the U.S. and around the world, worsening global economic woes as Russia’s months-long war on Ukraine also has disrupted global food supplies. For Biden, gasoline prices creeping up could affect voters. He and many lawmakers have warned that America’s longtime security-based relationship with the kingdom could be reconsidered.

    The decision by the Saudi Foreign Ministry to release a rare, lengthy statement showed how tense relations between the two countries have become.

    The White House pushed back on Thursday, rejecting the idea that the requested delay was related to the U.S. elections and instead linking it to economic considerations and Russia’s war on Ukraine.

    “We presented Saudi Arabia with analysis to show that there was no market basis to cut production targets, and that they could easily wait for the next OPEC meeting to see how things developed,” said John Kirby, coordinator for strategic communications at the National Security Council.

    “Other OPEC nations communicated to us privately that they also disagreed with the Saudi decision, but felt coerced to support Saudi’s direction,” he added.

    U.S.-Saudi ties have been fraught since the 2018 killing and dismemberment of Washington Post columnist Jamal Khashoggi, which Washington believes came on the orders of Saudi Crown Prince Mohammed bin Salman. Meanwhile, higher energy prices provide a weapon Russia can use against the West, which has been arming and supporting Ukraine.

    The statement by the Saudi Foreign Ministry acknowledged that the kingdom had been talking to the U.S. about postponing OPEC+’s 2 million barrel cut announced last week.

    “The government of the kingdom clarified through its continuous consultation with the U.S. administration that all economic analyses indicate that postponing the OPEC+ decision for a month, according to what has been suggested, would have had negative economic consequences,” the ministry said in its statement.

    The ministry’s statement confirmed details from a Wall Street Journal article this week that quoted unnamed Saudi officials saying the U.S. sought to delay the OPEC+ production cut until just before the midterm elections. The Journal quoted Saudi officials as describing the move as a political gambit by Biden ahead of the vote.

    The kingdom also criticized attempts to link its decision to Russia’s war on Ukraine.

    “The kingdom stresses that while it strives to preserve the strength of its relations with all friendly countries, it affirms its rejection of any dictates, actions, or efforts to distort its noble objectives to protect the global economy from oil market volatility,” it said. “Resolving economic challenges requires the establishment of a non-politicized constructive dialogue, and to wisely and rationally consider what serves the interests of all countries.”

    Both Saudi Arabia and the neighboring United Arab Emirates, key producers in OPEC, voted in favor of a United Nations General Assembly resolution Wednesday to condemn Russia’s “attempted illegal annexation” of four Ukrainian regions and demand its immediate reversal.

    Once muscular enough to grind the U.S. to a halt with its 1970s oil embargo, OPEC needed non-members like Russia to push through a production cut in 2016 after prices crashed below $30 a barrel amid rising American production. The 2016 agreement gave birth to the so-called OPEC+, which joined the cartel in cutting production to help stimulate prices.

    The coronavirus pandemic briefly saw oil prices go into negative territory before air travel and economic activity rebounded following lockdowns around the world. Benchmark Brent crude sat over $92 a barrel early Wednesday, but oil-producing nations are worried prices could sharply fall amid efforts to combat inflation.

    Biden, who famously called Saudi Arabia a “pariah” during his 2020 election campaign, traveled to the kingdom in July and fist-bumped Prince Mohammed before a meeting. Despite the outreach, the kingdom has been supportive of keeping oil prices high in order to fund Prince Mohammed’s aspirations, including his planned $500 billion futuristic desert city project called Neom.

    On Tuesday, Biden warned of repercussions for Saudi Arabia over the OPEC+ decision.

    “There’s going to be some consequences for what they’ve done, with Russia,” Biden said. “I’m not going to get into what I’d consider and what I have in mind. But there will be — there will be consequences.”

    ———

    Associated Press writer Aamer Madhani in Washington contributed to this report.

    ———

    Follow Jon Gambrell on Twitter at www.twitter.com/jongambrellAP.

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  • How Iran’s protests transformed into a national uprising | CNN

    How Iran’s protests transformed into a national uprising | CNN

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    CNN
     — 

    Nearly a month after the start of nationwide protests, parts of Iran now bear the hallmarks of battle zones, with flares lighting up skies, gunfire ringing out and bloody scenes recorded in video footage.

    “I am recording this video about the situation in Sanandaj,” said one demonstrator, his face covered with a black scarf and dark glasses, in a message to CNN from the Kurdish-majority city in western Iran, where some of the most dramatic images have emerged from the protests, despite a near total internet shutdown in the area.

    “Last night, the security forces were firing in the direction of houses. They were using military-grade bullets,” he said. “Until now, I hadn’t heard such bullets. People were really afraid.”

    Video apparently shot from rooftops showed what appeared to be clashes between young protesters and heavily armed security forces. Bullets and flares crossed the night sky and a cloud of dust and smoke covered the city blocks.

    At street level, other videos showed protesters throwing rocks at police, with the officers sometimes traveling in a procession of motorcycles, who appeared to be shooting at the crowd.

    Large numbers of Iran’s elite Revolutionary Guards have been participating in the crackdown in addition to local police, say activists in Sanandaj, who accuse authorities of lashing back indiscriminately. According to Oslo-based Kurdish rights group Hengaw, a 7-year-old boy died in his mother’s arms on Sunday after security forces fired into a crowd of protesters.

    While it is impossible to independently verify a death toll from such clashes, gruesome images circulating online, and eyewitness testimony collected by CNN as well as rights groups, point to the bloodshed. Video showed a driver in the city lying dead with a large gunshot wound in his face – activists said he was honking his horn in solidarity with protesters.

    “In Sanandaj, they shoot the people honking their horns with bullets. And they shoot young and old alike,” said another protester in a video message to CNN. “The injured don’t go to hospitals because if they go there plain-clothes police will arrest them.

    “We are protesting for freedom in Iran. For the prisoners and the condemned, for the people of Iran calling for the regime to go. Everyone wants this regime to go.”

    Despite the government’s repeated claims of having restored calm, the scenes are being replicated throughout the country to varying degrees, with the Kurdish-majority west of the country appearing to bear the brunt of the crackdown.

    With remarkable defiance, Iranian people keep pouring into thoroughfares across the country. The protests were first ignited by the death of 22-year-old Mahsa Amini (also known as Zhina), who died nearly one month ago after being detained by the country’s morality police, but demonstrators have since coalesced around a range of grievances with the regime.

    Increasingly, activists and experts are characterizing the protests as a national uprising and one of the biggest challenges to the Iranian regime since its founding.

    “This is not a protest for reform,” Roham Alvandi, an associate professor of History at the London School of Economics, told CNN. “This is an uprising demanding the end of the Islamic Republic. And that is something completely different to what we’ve seen before.”

    What started as protests against the death of Mahsa Amini has transformed into something much larger.

    In the last month, Iran’s protesters have targeted the economic and political nerve centers of the regime. Videos showed people throwing rocks at police in the center of Tehran. In the capital’s bazaar, security forces were seen running away from demonstrators. Even in the conservative cities of Mashhad and Qom – the heart of the regime’s powerbase – demonstrators crop up frequently.

    Some gas and oil refineries have also turned into sites of protests, which are rapidly spreading in the country’s southwest. The country’s Council of Oil Contractor Workers has said it would potentially call a strike and pause oil production.

    The petroleum industry is the lifeline of Iran’s economy, which has been buckling under the strain of US sanctions unleashed by the Trump administration in 2018 and sustained by the Biden administration. US officials have been in indirect negotiations with Iran for a year and a half in a bid to restore a landmark 2015 nuclear deal – which former President Donald Trump withdrew from four years ago – that would see Iran curb its uranium enrichment program in exchange for sanctions relief.

    Video suggested that the demonstrations at the refineries began as protests over wages, but then transformed into anti-regime protests, with laborers chanting “death to the dictator” – a reference to Supreme Leader Ayatollah Ali Khamenei.

    Around the country, protesters have pushing for economic strikes with some success. In Kurdish-majority areas, where the protests are believed to be more organized than elsewhere in the country, social media videos showed lines of shops shuttered. In Tehran’s bazaar, a number of stores have closed in recent days, though many merchants say they did so to protect their shops from the protests and the crackdowns that follow. A general strike, which Iranian activists have called for, has yet to materialize.

    Labor strikes are loaded with historic meaning in Iran. In 1979, oil and gas refineries played a critical role in the popular movement that overthrew the pro-Western Shah Mohammad Reza Pahlavi and paved the way for the Islamic Republic.

    More widespread protest action by workers and merchants, experts say, could mark another escalation in the protests.

    “If there is a nationwide general strike, what can the government do really,” said Alvandi. “That would completely paralyze the state and would show the powerlessness of the state in the face of this movement.”

    Meanwhile, the crackdown continues to intensify in various parts of Iran, most notably in the Kurdish-majority north and northwest, where allegations of the mistreatment of the ethnic minority was already widespread.

    An Iranian police officer on a motocycle raises a baton to disperse protesters last month.

    Hengaw, the Kurdish rights group, believes that the violence against protesters being reported from the region “is just a drop in the ocean,” with only partial information emerging about the crackdown.

    Authorities have sporadically shut down the internet across Iran in an apparent bid to quash the protests, with the Kurdish-majority parts of the country experiencing the longest shutdowns, according to activists and the internet watchdog NetBlocks.

    A “major disruption” to internet access has occurred since 9:30 a.m. in Iran (2 a.m. ET) on Wednesday, according to NetBlocks. Kurdish activists say that authorities have also shut the area’s landline network, arguing that the bloodshed seen in the videos could just be the tip of the iceberg.

    “The Iranian regime and its security apparatus has no limit,” said Ramyar Hassani of Hengaw. “They know no limits.”

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  • Asian stocks fall ahead of US inflation update

    Asian stocks fall ahead of US inflation update

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    BEIJING — European stocks and Wall Street futures gained Thursday while Asian markets fell ahead of U.S. inflation data that investors worry will reinforce Federal Reserve plans for more aggressive interest rate hikes.

    London and Frankfurt advanced. Shanghai, Tokyo and Hong Kong declined. Oil prices advanced.

    Wall Street’s benchmark S&P 500 ended lower Wednesday after inflation in producer prices edged down but still was near a multi-decade high.

    The more closely watched consumer price index was due out later Thursday.

    “A hawkish reaction to the data could add more pressure to stocks,” Anderson Alves of ActivTrades said in a report.

    The Fed and other central banks in Europe and Asia have raised rates by unusually big margins to cool inflation that is at multi-decade highs, but traders are afraid they might tip the global economy into recession.

    In early trading, the FTSE 100 in London gained 0.2% to 6,840.35. The DAX in Frankfurt rose 0.8% to 12,272.20 and the CAC 40 in Paris added 0.5% to 5,845.55.

    On Wall Street, futures for the benchmark S&P 500 index and the Dow Jones Industrial Average were up 0.5%.

    On Wednesday, the S&P 500 gave up 0.3% for its sixth daily decline and the Dow slide 0.1% after a report showed producer price inflation is very hot.

    Prices rose 8.5% in September, down from March’s peak of 11.7%. But prices gained 0.4% compared with August following two months of declines.

    Consumer inflation on Thursday and retail sales data Friday could give a clearer picture of where prices are hottest and how consumers are reacting.

    Minutes from the Fed’s last meeting, released Wednesday, underscored the central bank’s commitment to taming “unacceptably high” inflation.

    The S&P 500 is down 25% so far this year and close to a two-year low.

    In Asia, the Shanghai Composite Index lost 0.1% to 3,016.35 and the Nikkei 225 in Tokyo sank 0.6% to 26,237.42. Hong Kong’s Hang Seng tumbled 1.9% to 16,389.11, its lowest close in more than 11 years.

    The Kospi in Seoul fell 1.8% to 2,162.87 while Sydney’s S&P-ASX 200 gained less than 0.1% to 6,642.60.

    India’s Sensex lost 0.7% to 57,205.89. New Zealand’s benchmark lost 0.5% and Southeast Asian markets also declined.

    In energy markets, benchmark U.S. crude gained 19 cents to $87.64 per barrel in electronic trading on the New York Mercantile Exchange. Brent crude, the price basis for international oil trading, added 31 cents to $92.67 per barrel in London.

    The dollar strengthened to 146.74 after hitting a 24-year high of 145.85 on Wednesday.

    The dollar’s exchange rate has been rising against other currencies due to the Fed’s rate hikes and recession fears. The yen’s weakness has prompted expectations Japan’s central bank might intervene for a second time to prop up the exchange rate following an intervention in September.

    The euro gained to 97.39 cents from 97.06 cents.

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  • Little sign of relief expected in September inflation data

    Little sign of relief expected in September inflation data

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    WASHINGTON — Any Americans hoping for relief from months of punishing inflation might not see much in Thursday’s government report on price increases in September.

    Lower gas prices will probably reduce overall consumer inflation for a third straight month. But measures of “core” inflation, which are closely watched because they exclude volatile food and energy costs, are expected to return to a four-decade peak.

    Economists have estimated that the government’s consumer price index jumped 8.1% in September from 12 months earlier, according to a survey by the data provider FactSet. That is a distressingly large gain, though below the 9.1% year-over-year peak that was reached in June.

    Core prices are estimated to have risen 0.4% from August to September, slower than the previous month but still a much faster pace than was typical before the pandemic. Measured over the past 12 months, core prices are forecast to have surged 6.5%, up from 6.3% in August. That’s far above the 2% inflation that the Federal Reserve has long set as its target rate.

    Thursday’s report will provide the final inflation figures before the Nov. 8 midterm elections after a campaign season in which spiking prices across the economy have fed widespread public anxiety, with many Republicans casting blame on President Joe Biden and congressional Democrats.

    Inflation has escalated families’ grocery bills, rents and utility costs, among many other expenses, inflicting hardships on households and deepening gloom about the economy despite strong job growth and historically low unemployment.

    As the election nears, Americans are increasingly taking a dim view of their finances, according to a new poll by The Associated Press-NORC Center for Public Affairs Research. Roughly 46% of people now describe their personal financial situation as poor, up from 37% in March. That sizable drop contrasts with the mostly steady readings that had lasted through the pandemic.

    The September inflation report, whatever it shows, isn’t likely to change the Fed’s plans to keep hiking rates aggressively in an effort to wrest inflation under control. The Fed has boosted its key short-term rate by 3 percentage points since March, the fastest pace of hikes since the early 1980s. Those increases are intended to raise borrowing costs for mortgages, auto loans and business loans and cool inflation by slowing the economy.

    Minutes from the Fed’s most recent meeting in late September showed that many policymakers have yet to see any progress in their fight against inflation. The officials projected that they would raise their benchmark rate by an additional 1.25 percentage points over their next two meetings in November and December. Doing so would put the Fed’s key rate at its highest level in 14 years.

    Along with lower gas prices, economists expect to see that the prices of used cars tumbled in September after small declines the previous two months. Wholesale used car prices have dropped for most of this year, though the declines have yet to show up in consumer inflation data. (Used vehicle prices had soared in 2021 after factory shutdowns and supply chain shortages reduced production.)

    Large retailers, too, have started offering early discounts for the holiday shopping season, after having amassed excess stockpiles of clothes, furniture and other goods earlier this year. Those price cuts might have lowered inflation in September or will do so in the coming months.

    Walmart has said it will offer steep discounts on such items as toys, home goods, electronics and beauty. Target began offering holiday deals earlier this month.

    Yet prices for services — particularly rents and housing costs — are remaining persistently high and will likely take much longer to come down. Health care services, education and even veterinary services are still rising rapidly in price.

    “Services price increases tend to be more persistent than increases in the prices of goods,” Raphael Bostic, president of the Federal Reserve Bank of Atlanta, noted in remarks last week.

    Rising rental costs are a tricky issue for the Fed. Real-time data from websites such as ApartmentList suggest that rents on new leases are starting to decline.

    But the government’s measure tracks all rent payments — not just those for new leases — and most of them don’t change from month to month. Economists say it could be a year or longer before the declines in new leases feed through to government data.

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  • Little sign of relief expected in September inflation data

    Little sign of relief expected in September inflation data

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    WASHINGTON — Any Americans hoping for relief from months of punishing inflation might not see much in Thursday’s government report on price increases in September.

    Lower gas prices will probably reduce overall consumer inflation for a third straight month. But measures of “core” inflation, which are closely watched because they exclude volatile food and energy costs, are expected to return to a four-decade peak.

    Economists have estimated that the government’s consumer price index jumped 8.1% in September from 12 months earlier, according to a survey by the data provider FactSet. That is a distressingly large gain, though below the 9.1% year-over-year peak that was reached in June.

    Core prices are estimated to have risen 0.4% from August to September, slower than the previous month but still a much faster pace than was typical before the pandemic. Measured over the past 12 months, core prices are forecast to have surged 6.5%, up from 6.3% in August. That’s far above the 2% inflation that the Federal Reserve has long set as its target rate.

    Thursday’s report will provide the final inflation figures before the Nov. 8 midterm elections after a campaign season in which spiking prices across the economy have fed widespread public anxiety, with many Republicans casting blame on President Joe Biden and congressional Democrats.

    Inflation has escalated families’ grocery bills, rents and utility costs, among many other expenses, inflicting hardships on households and deepening gloom about the economy despite strong job growth and historically low unemployment.

    As the election nears, Americans are increasingly taking a dim view of their finances, according to a new poll by The Associated Press-NORC Center for Public Affairs Research. Roughly 46% of people now describe their personal financial situation as poor, up from 37% in March. That sizable drop contrasts with the mostly steady readings that had lasted through the pandemic.

    The September inflation report, whatever it shows, isn’t likely to change the Fed’s plans to keep hiking rates aggressively in an effort to wrest inflation under control. The Fed has boosted its key short-term rate by 3 percentage points since March, the fastest pace of hikes since the early 1980s. Those increases are intended to raise borrowing costs for mortgages, auto loans and business loans and cool inflation by slowing the economy.

    Minutes from the Fed’s most recent meeting in late September showed that many policymakers have yet to see any progress in their fight against inflation. The officials projected that they would raise their benchmark rate by an additional 1.25 percentage points over their next two meetings in November and December. Doing so would put the Fed’s key rate at its highest level in 14 years.

    Along with lower gas prices, economists expect to see that the prices of used cars tumbled in September after small declines the previous two months. Wholesale used car prices have dropped for most of this year, though the declines have yet to show up in consumer inflation data. (Used vehicle prices had soared in 2021 after factory shutdowns and supply chain shortages reduced production.)

    Large retailers, too, have started offering early discounts for the holiday shopping season, after having amassed excess stockpiles of clothes, furniture and other goods earlier this year. Those price cuts might have lowered inflation in September or will do so in the coming months.

    Walmart has said it will offer steep discounts on such items as toys, home goods, electronics and beauty. Target began offering holiday deals earlier this month.

    Yet prices for services — particularly rents and housing costs — are remaining persistently high and will likely take much longer to come down. Health care services, education and even veterinary services are still rising rapidly in price.

    “Services price increases tend to be more persistent than increases in the prices of goods,” Raphael Bostic, president of the Federal Reserve Bank of Atlanta, noted in remarks last week.

    Rising rental costs are a tricky issue for the Fed. Real-time data from websites such as ApartmentList suggest that rents on new leases are starting to decline.

    But the government’s measure tracks all rent payments — not just those for new leases — and most of them don’t change from month to month. Economists say it could be a year or longer before the declines in new leases feed through to government data.

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  • Saudis aren’t weaponizing oil like Americans claim, top official says | CNN Business

    Saudis aren’t weaponizing oil like Americans claim, top official says | CNN Business

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    CNN
     — 

    Saudi Minister of State for Foreign Affairs Adel al-Jubeir said his country partnered with Russia to slash oil production in order to stabilize markets and denied that there were political motives behind the decision, which has enraged US leaders and sparked calls to rethink ties with Riyadh.

    “We’re trying to make sure we don’t have erratic swings in prices,” al-Jubeir, one of Saudi Arabia’s top diplomats, told CNN’s Becky Anderson on Wednesday. “Our track record has been clear – we have always worked assiduously to maintain stability in the oil markets.”

    Last week, OPEC+, the oil cartel led by Saudi Arabia and Russia, agreed to slash production by 2 million barrels per day, twice as much as analysts had predicted, in the biggest cut since the Covid-19 pandemic.

    The move came despite an intense pressure campaign from the United States, which had warned Arab allies that such a move would increase prices and help Russian President Vladimir Putin continue to fund his war in Ukraine. Experts also fear that continued high oil prices could make it more difficult for the US to tamp down inflation, which has already skyrocketed this year.

    Al-Jubeir, who is also the country’s climate minister, denied that there were any political motives to the decision and said the production cut was made to avoid major swings in the price of oil, which can affect consumers worldwide, and pointed to the fact that the price of oil has gone down since the reduction was announced last week.

    “Saudi Arabia is not siding with Russia,” he told CNN. “Saudi Arabia is taking the side of trying to ensure the stability of the oil markets.”

    “Saudi Arabia does not politicize oil. We don’t see oil as a weapon. We see oil as our commodity. Our objective is to bring stability to the oil market,” al-Jubeir said.

    US President Joe Biden told CNN on Tuesday that Washington must now “rethink” its relationship with Riyadh following the cut. The decision was a particular affront for Biden because of his efforts over the summer to repair ties with Saudi Arabia, despite the kingdom’s woeful human rights record and the role of Saudi Crown Prince Mohammed bin Salman in the murder of dissident journalist Jamal Khashoggi. Bin Salman denied involvement in the murder, which captured international headlines in part due to the lurid details of the killing.

    “I am in the process, when the House and Senate gets back, they’re going to have to – there’s going to be some consequences for what they’ve done with Russia,” Biden said.

    Watch the full exclusive interview with President Joe Biden

    On Wednesday, US national security adviser Jake Sullivan said Biden would examine all aspects of US ties with Saudi Arabia, including arms sales, as administration officials begin quiet discussions with members of Congress and congressional aides about how the US could impose consequences on the kingdom following the oil output cut.

    “There is a range of interests and values that are implicated in our relationship with that country,” Sullivan told reporters. “The President will examine all of that. But one question he’s going to ask is: Is the nature of the relationship serving the interest and values of the United States and what changes would make it better serve the interests and values?”

    Saudi Energy Minister Prince Abdulaziz bin Salman al-Saud said in an interview with Saudi TV earlier Wednesday that OPEC+ needed to be proactive as central banks in the West moved to tackle inflation with higher interest rates, a move that could raise prospects of a global recession, which could in turn reduce demand for oil and drive its price down. Cutting production would ensure a smaller supply of oil, keeping its price higher. While that would protect the Saudi economy by ensuring it receives a steady flow of income from oil sales, it would force consumers across the world to pay more for energy and gas, further fueling inflation.

    Saudi officials have insisted that the production cut is being done to protect the country’s economic interests. Because of its heavy dependence on oil revenues, the Saudi economy has a history of falling victim to boom and bust cycles in the oil market, where high prices bring in a flow of cash followed by downturns.

    In the United States, however, the cut could have massive political ramifications ahead of next month’s midterm elections. After reaching highs over the summer, gas prices in the United States had been steadily decreasing, providing Biden and his top aides a potent talking point in the lead-up to the elections.

    But a combination of factors, including rising demand and maintenance at some US refineries, has caused prices to begin ticking back up. The OPEC+ decision is likely to aggravate those factors.

    The decision set off bipartisan fury in Washington when it was first announced last week. Saudi Arabia is now being accused of filling the Kremlin’s coffers with oil revenues just days after President Putin’s regime began carrying out large-scale missile attacks on civilian targets across Ukraine

    “What Saudi Arabia did to help Putin continue to wage his despicable, vicious war against Ukraine will long be remembered by Americans,” tweeted Senate Majority Leader Chuck Schumer, a Democrat, on Friday.

    Democratic Sen. Richard Blumenthal of Connecticut on Wednesday called for immediate action on his bill that would stop US arm sales to Saudi Arabia.

    “The Saudis actions aid and abet a murderous and brutal criminal invasion by Russia,” Blumenthal said.

    When asked about growing calls in Washington to limit ties with Saudi Arabia, al-Jubeir said he hoped that such talk was motivated by domestic politics ahead of the midterms.

    Al-Jubeir said the relationship between the US and Saudi Arabia remains “robust.”

    “The Kingdom of Saudi Arabia and the US have had a very strong relationship for eight decades … and we look forward to this relationship continuing for the next eight decades,” he added.

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  • Live Updates: Russia-Ukraine-War

    Live Updates: Russia-Ukraine-War

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    MOSCOW — Russian President Vladimir Putin said Wednesday that Moscow is ready to resume gas supplies to Europe via a link of Germany-bound Nord Stream 2 pipeline under the Baltic Sea which has never been in use.

    The Nord Stream 2 pipeline has never brought natural gas to Europe because Germany prevented the flows from ever starting just before Russia invaded Ukraine.

    Russia has cut off the parallel Nord Stream 1 pipeline, which has been at the center of an energy standoff with Europe. Russia has blamed technical problems for the stoppage, but European leaders call it an attempt to divide them over their support for Ukraine.

    Speaking at a Moscow energy forum, Putin again claimed Wednesday that the U.S. was likely behind the explosions that ripped through both links of the Nord Stream 1 pipeline and one of the two links of the Nord Stream 2 pipeline, causing a massive gas leak and taking them out of service.

    The U.S. has previously rejected similar allegations by Putin.

    ———

    KEY DEVELOPMENTS:

    Ukraine’s Zaporizhzhia nuclear plant loses external power

    Belarus army would likely have little impact in Ukraine war

    Bodies exhumed from mass grave in Ukraine’s liberated Lyman

    — EU countries turn to Africa in bid to replace Russian gas

    Leak detected in pipeline that brings crude oil to Germany

    Worried UN meets on Ukraine hours after Russian strikes

    — Follow all AP stories on the war in Ukraine at https:/ /apnews.com/hub/russia-ukraine

    ———

    OTHER DEVELOPMENTS:

    KYIV, Ukraine — Ukrainian authorities say a Russian attack on a market in the eastern Donetsk region has killed seven people and wounded eight.

    The deputy head of the Ukraine president’s office says the attack happened early Wednesday morning in Avdiivka.

    “The Russian military needs more blood, more death and more destruction,” Kyrylo Tymoshenko said on Telegram. “This is a hunt for the lives of peaceful citizens.”

    Photos attached to the post showed dead people lying in line near one of kiosks that had potatoes and bread on the counter.

    ———

    KYIV, Ukraine — Ukraine government’s energy minister says Russian attacks in the past two days have damaged about one third of the country’s energy infrastructure.

    “For the first time since the start of the war, Russia is targeting energy infrastructure,” German Galushchenko said on Wednesday. He says this is because Ukraine is exporting energy to Europe.

    ———

    KYIV, Ukraine — Ukraine’s presidential office says Russian shelling in the past 24 hours has affected eight regions in the southeast, while strikes on central and western areas have eased for the moment.

    Russian forces used drones, heavy artillery and missiles, according to the presidential office’s Wednesday morning update.

    Three people have been rescued alive from the rubble in Zaporizhzhia after over a dozen missiles rained on the city, the report said. A six-year-old girl and two more people were wounded in the shelling of Nikopol, where the attacks damaged some three dozen residential buildings, private houses, kindergartens, a school, two plants and several shops, the report added.

    Ukrainian forces say they shot down nine Iranian Shahed-136 drones and destroyed eight Kalibr cruise missiles near Mykolaiv, leaving the southern city without power.

    “Russian shelling intensifies and subsides, but doesn’t stop, not for a day the city lives in tension, and the Russians’ main goal appears to be keeping us in fear,” Mykolaiv regional governor Vitali Kim said.

    ———

    KYIV, Ukraine — Ukrainian officials and military analysts say Kyiv’s counteroffensive in the occupied regions in the south and east of the country has slowed down significantly despite Ukraine retaking five towns and villages in the Kherson area.

    Russian troops have been re-enforcing the front lines and regrouping following Ukrainian successes, which has forced the Ukrainian forces to ease their advances.

    Regional administrator in the eastern Luhansk region says Russian forces there have been building a multi-layered defense line and mining the front line’s first section.

    Serhiy Haidai says people in the Luhansk region are moving from the Russia-occupied cities to villages, where they have been settling down in empty houses to “spend the winter in warm.”

    Luhansk is among the four region that Russia unlawfully annexed following referendums dismissed as sham by both Ukraine and the West.

    “In the south, the Ukrainian army is slowing down the pace of the counteroffensive, because the Russians managed to regroup and put forward paratrooper units, and unexpected issues arose,” Ukrainian military analyst Oleh Zhdanov told The Associated Press.

    ———

    MOSCOW — The Kremlin says there are no plans for Russian President Vladimir Putin to meet with U.S. President Joe Biden during a Group of 20 summit in Indonesia next month.

    Kremlin spokesman Dmitry Peskov on Wednesday said “neither the Russian, nor American side put forward any initiatives about organizing bilateral contacts” during the summit in Bali.

    Asked about Biden’s comments in an interview with CNN in which he warned that the use of nuclear weapons against Ukraine would lead to a “horrible outcome,” Peskov said the remarks were part of “harmful and provocative” Western nuclear rhetoric.

    Putin has said he wouldn’t hesitate to use “all means available” to protect Russian territory in a clear reference to Russian nuclear arsenals, a statement that was broadly seen as an attempt to force Ukraine to halt its offensive to reclaim control of the four regions that were illegally absorbed by Russia.

    ———

    BRUSSELS — A Belarus opposition leader says Russia is now de facto occupying her country by deploying its troops there and using authoritarian President Alexander Lukashenko as its puppet.

    Sviatlana Tsikhanouskaya urged more support from EU leaders during a two-day visit to European Union headquarters in Brussels. She says “we face an enemy who denies the very existence of our country as a free and independent nation.”

    The exiled opposition leader fears that Lukashenko could force the Belarus army to join Russian forces in Moscow’s war against Ukraine. Russia has already used Belarus as a staging ground to send troops and missiles into Ukraine earlier in the war.

    Tsikhanouskaya adds the situation has become “dramatic” in Belarus, which has become totally subservient to the wishes of Russian President Vladimir Putin. Putin and Lukasenko, she says, have “tried to increase and legalize the constant deployment of Russian troops on Belarus territory.”

    “It’s an occupation,” adds Tsikhanouskaya. “Our position is clear, Belarus must officially withdraw from participation in Russian war, and the Russian soldiers must leave Belarus unconditionally.”

    Tsikhanouskaya fled to Lithuania after Lukashenko claimed victory in disputed August 2020 elections that many thought she won.

    ———

    KYIV, Ukraine — Ukraine Southern Operational Command says its forces have recaptured five settlements in the Kherson region.

    The villages of Novovasylivka, Novohryhorivka, Nova Kamianka, Tryfonivka and Chervone in the Beryslav district were retaken as of Oct. 11, according to the speaker of the southern command Vladislav Nazarov.

    The settlements are in one of the four regions recently illegally annexed by Russia.

    ———

    MOSCOW — Russia’s top KGB successor agency said Wednesday that it has arrested eight people on charges of involvement in the attack on the bridge linking Russia to Crimea.

    The Federal Security Service (FSB) said it arrested five Russians and three citizens of Ukraine and Armenia on charges of involvement in Saturday’s attack on the bridge.

    A truck loaded with explosives blew up while driving across the bridge, killing four and causing two sections of one of the two automobile links to collapse.

    The FSB charged that the arrested suspects were working on orders of Ukraine’s military intelligence to secretly move the explosives into Russia and forge the accompanying documents.

    It said the explosives were moved by sea from the Ukrainian port of Odesa to Bulgaria before being shipped to Georgia, driven to Armenia and then back to Georgia before being transported to Russia in a complex scheme to secretly deliver them to the target.

    Russian President Vladimir Putin denounced the attack on the bridge as an “act of terrorism” and responded by ordering a barrage of missile strikes on Ukraine.

    Ukrainian officials have lauded the explosion on the bridge, but stopped short of directly claiming responsibility for it.

    ———

    KYIV, Ukraine — A Ukrainian official says a Russian attack blew up windows and doors on residential buildings in the southern city of Zaporizhzhia.

    City council Secretary Anatoliy Kurtev on Wednesday warned the residents of possible follow-up attacks. There were no reports of injuries from the initial shelling.

    Zaporizhzhia, which sits fairly near the front line, has been repeatedly struck with often deadly attacks in recent weeks. It is part of a larger region, including Europe’s largest nuclear power plant now in Russian control, that Moscow has said it has annexed in violation of international law. The city itself remains in Ukrainian hands.

    Another powerful blast struck Melitopol, which is in the same region, sending a car flying into the air, said mayor Ivan Fedorov. There was no word on casualties. Also Wednesday, air raid sirens sounded in the capital Kyiv.

    ———

    WARSAW, Poland — A leak has been detected in an underground oil pipeline in Poland which is the main route through which Russian crude oil reaches Germany.

    Polish operator, PERN, on Wednesday said it detected a leak in the Druzhba pipeline, which originates in Russia, on Tuesday evening about 70 kilometers (45 miles) form the the central Polish city of Plock. It said the cause of the leak wasn’t known.

    The Druzhba pipeline, which in Russian means “Friendship,” is one of the world’s longest oil pipelines, and after leaving Russia it branches out to bring crude to points including Belarus, Ukraine, Poland, Hungary, Austria and Germany.

    The incident follows leaks late last month in the Nord Stream 1 and 2 gas pipelines running along the Baltic seabed.

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  • Israel, US announce Lebanon sea deal, but questions remain

    Israel, US announce Lebanon sea deal, but questions remain

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    JERUSALEM — President Joe Biden on Tuesday said the U.S. has brokered a “historic breakthrough” between Israel and Lebanon that would end a dispute over their shared maritime border, pave the way for natural gas production and reduce the risk of war between the enemy countries.

    The agreement, coming after months of U.S.-mediated talks, would mark a major breakthrough in relations between Israel and Lebanon, which formally have been at war since Israel’s establishment in 1948. But the deal still faces some obstacles, including legal and political challenges in Israel.

    Israel welcomed the deal even ahead of Biden’s announcement. Lebanese leaders made no formal announcement, but indicated they would approved the agreement.

    In Washington, Biden said that Israel and Lebanon had agreed to “formally end” their maritime dispute. He said he had spoken to the leaders of both countries and been told they were ready to move ahead.

    The agreement “will provide for the development of energy fields for the benefit of both countries, setting the stage for a more stable and prosperous region,” Biden said. “It is now critical that all parties uphold their commitments and work towards implementation.”

    Lebanon and Israel both claim some 860 square kilometers (330 square miles) of the Mediterranean Sea. At stake are rights over exploiting undersea natural gas reserves. Lebanon hopes gas exploration will help lift its country out of its spiraling economic crisis. Israel also hopes to exploit gas reserves while also easing tensions with its northern neighbor.

    Israeli Prime Minister Yair Lapid called the deal a “historic achievement that will strengthen Israel’s security, inject billions into Israel’s economy, and ensure the stability of our northern border.”

    Under the agreement, the disputed waters would be divided along a line straddling the strategic “Qana” natural gas field.

    Israeli officials involved in the negotiations said Lebanon would be allowed to produce gas from that field, but pay royalties to Israel for any gas extracted from the Israeli side. Lebanon has been working with the French energy giant Total on preparations for exploring the field, though actual production is likely years away.

    The agreement would also leave in place an existing “buoy line” that serves as a de facto border between the two countries, the officials said.

    The officials, speaking on condition of anonymity because they were discussing behind the scenes negotiations, said the deal would include American security guarantees, including assurances that none of the gas revenues reach Hezbollah.

    Many leading Israeli security figures, both active and retired, have hailed the deal because it could lower tensions with Lebanon’s Hezbollah militant group, which has repeatedly threatened to strike Israeli natural gas assets elsewhere in the Mediterranean.

    With Lebanon now having a stake in the region’s natural gas industry, experts believe the sides will think twice before opening up another war.

    “It might help create and strengthen the mutual deterrence between Israel and Hezbollah,” said Yoel Guzansky, a senior fellow at Israel’s Institute for National Security Studies. “This is a very positive thing for Israel.”

    Israel and Hezbollah fought a monthlong war in 2006, and Israel considers the heavily armed Iranian-backed group to be its most immediate military threat.

    The agreement will be brought before Israel’s caretaker government for approval this week ahead of the Nov. 1 election, when the country goes to the polls for the fifth time in under four years.

    An Israeli official said Lapid’s Cabinet is expected to approve the agreement in principle on Wednesday, while sending it to parliament for a required two-week review. After the review, the government would give final, official approval, the official said, speaking on condition of anonymity to discuss government strategy. It remains unclear if parliament needs to approve the agreement, or merely review it.

    Approval is not guaranteed. Former Prime Minister Benjamin Netanyahu has said the caretaker government has no authority to sign such an important agreement and has vowed to cancel the deal if re-elected. On Tuesday, he accused Lapid of caving in to Hezbollah threats.

    “This is not a historic agreement. It’s a historic surrender,” Netanyahu said in a Facebook video.

    The Kohelet Policy Forum, an influential conservative think tank, already has filed a challenge with the Supreme Court trying to block the deal.

    But Yuval Shany, an expert on international law at the Israel Democracy Institute, another prominent think tank, said it is customary, but not mandatory, to seek Knesset approval for such agreements.

    “Peace agreements are usually brought to the Knesset, but this is not a peace agreement. It’s a border and limitation agreement,” he said.

    Senior U.S. energy envoy Amos Hochstein, whom Washington appointed a year ago to mediate talks, delivered a modified proposal of the maritime border deal to Lebanon on Monday night, according to local media and officials.

    There was no formal response from Lebanon. But the office of President Michel Aoun said the latest version of the proposal “satisfies Lebanon, meets its demands, and preserves its rights to its natural resources,” and will hold consultations with officials before making an announcement.

    A senior official involved in the talks told The Associated Press that Aoun, Prime Minister Najib Mikati, and Speaker Nabih Berri were all satisfied. The official spoke on condition of anonymity in line with regulations.

    Hezbollah’s leader, Hassan Nasrallah, was noncommital in a speech late Tuesday. He praised his group’s “resistance” against Israel and insisted that Lebanon is not afraid of another war against Israel. But he said Hezbollah would “wait” to issue its position on the agreement. Previously he has said the group would endorse the government’s position.

    He said any agreement would require cooperation and unity among Lebanon’s fractured political leadership. “The upcoming hours are decisive,” he said.

    ———

    Associated Press correspondent Eleanor Reich contributed reporting from Jerusalem.

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  • EXPLAINER: Haiti’s troubled history of foreign interventions

    EXPLAINER: Haiti’s troubled history of foreign interventions

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    SAN JUAN, Puerto Rico — Haiti Prime Minister Ariel Henry and 18 members of his cabinet have requested the immediate deployment of foreign troops in response to gangs and protesters who have paralyzed the country.

    Fuel, water and other basic supplies have dwindled nearly a month after one of Haiti‘s most powerful gangs blocked access to a main fuel terminal in Port-au-Prince where more than 10 million gallons of gasoline and diesel are stored, along with more than 800,000 gallons of kerosene. In addition, demonstrators have blocked roads in the capital and other main cities to demand Henry’s resignation and protest rising fuel prices after the prime minister announced in early September that his administration could no longer afford to subsidize fuel.

    Gas stations and schools remain shuttered. Banks and grocery stores are operating on a limited schedule.

    The United Nations secretary-general has offered the Security Council various options, including the immediate deployment of a rapid action force.

    Opponents claim Henry hopes to use foreign troops to keep himself in power – a leadership he assumed last year after the assassination of President Jovenel Moïse and that many consider illegitimate because he was never elected nor formally confirmed in the post by the legislature. He has failed to set a date for elections, which have not been held since November 2016, but has pledged to do so once the violence is quelled.

    Here is a look at previous foreign military interventions in Haiti and the impact they’ve had on the country of more than 11 million people:

    HOW MANY FOREIGN MILITARY INTERVENTIONS HAVE THERE BEEN IN HAITI?

    Since the early 1900s, there have been at least three major foreign military interventions in Haiti led by the United States and the United Nations.

    The U.S. first occupied Haiti from 1915 to 1934.

    Nearly 60 years later, the U.N. launched a peacekeeping mission in 1993, followed by the arrival of U.S. troops in 1994. Another intervention occurred in 2004. The first of those was to restore President Jean-Bertrand Aristide to power. The second followed a rebellion that removed him again.

    WHAT LED TO THE INTERVENTIONS?

    The interventions came at moments of great political instability.

    Seven Haitian presidents were ousted or killed from 1911 to 1915, prompting U.S. President Woodrow Wilson to send U.S marines to Haiti in 1914. The U.S. removed half a million dollars from the Haitian National Bank for alleged safekeeping in New York. A formal U.S. occupation began in July 1915 and lasted until August 1934.

    In September 1994, the U.S. sent more than 20,000 troops and two aircraft carriers to Haiti as part of an operation dubbed “Restore Democracy” under President Bill Clinton. The aim was to restore to power Aristide, who had been ousted in a 1991 military coup. Aristide had become Haiti’s first democratically elected president the year before. A smaller contingent of U.S. troops remained in Haiti until early 2000, often under U.N. auspices.

    A parallel United Nations peacekeeping effort was launched in September 1993 and ran until 2000.

    Aristide was overthrown again in February 2004 in a rebellion originally launched by a street gang. The U.S., which had pushed him to resign, flew Aristide out of the country and sent troops — as did Canada, France and Chile. They were soon replaced by troops of the United Nations Stabilization Mission in Haiti, which stayed until 2017.

    WHAT IMPACT HAVE FOREIGN INTERVENTIONS HAD ON HAITI?

    Robert Fatton, a Haitian politics expert at the University of Virginia, said that overall, “The occupations didn’t really improve anything in Haiti.”

    He said the 1915-1934 occupation created a unified Haitian military, which was the country’s dominant force until the dictatorial regime of François Duvalier and later his son, Jean-Claude Duvalier, from 1957 to 1986.

    The occupation also established a type of unpaid forced labor known as “corvée” in which U.S. officials used Haitian peasants to build roads, railroads and other infrastructure.

    “The occupation was very coercive,” Fatton said. “It was also very centralizing and … very racist.”

    He said the second intervention in 1994 was more popular because it helped restore the charismatic Aristide, a former priest who once served poor communities.

    The invasion led to the creation of Haiti’s National Police, which effectively replaced the Haitian Army that was disbanded in 1995, though many police officers were former soldiers.

    However, there were two failed couple attempts during that occupation and deepening political chaos.

    The U.N.’s 2004-2017 peacekeeping mission was marred by allegations of sexual assault by its troops and staffers and the fact that peacekeepers from Nepal were blamed for introducing cholera into Haiti’s largest river in October 2010 by sewage runoff from their base. The U.N. has since acknowledged it played a role in the epidemic and that it had not done enough to help fight it, but it has not specifically acknowledged it introduced the disease.

    Fatton said that while the U.N. mission “established a modicum of order,” in Haiti, it was a “very repressive organization.”

    “To destroy gangs, they used forceful means. That left a very bad taste with poor Haitians,” he said, noting that they live side-by-side with gangs in slums. “Whether you’re with the gangs or not, you suffered the consequences.”

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  • Key Senate chair urges US to freeze cooperation with Saudis

    Key Senate chair urges US to freeze cooperation with Saudis

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    WASHINGTON — Senate Foreign Relations Committee Chairman Robert Menendez called Monday for freezing all U.S. cooperation with Saudi Arabia, delivering one of the strongest expressions yet of U.S. anger over Saudi oil-production cuts that serve to boost Russia in its war in Ukraine.

    In a statement, Menendez specifically called for cutting off all arms sales and security cooperation — one of the underpinnings of the more than 70-year U.S. strategic partnership with the oil kingdom — beyond the minimum necessary to defend Americans and American interests.

    As committee chairman, Menendez, a New Jersey Democrat, vowed he “will not green-light any cooperation with Riyadh until the Kingdom reassesses its position with respect to the war in Ukraine. Enough is enough.”

    His statement comes four days after Saudi Arabia and Russia led OPEC nations in announcing a 2 million barrel a day cut in oil production. The Saudi- and Russian-led cuts help prop up high oil prices that are allowing President Vladimir Putin to keep paying for his eight-month invasion of Ukraine. The production cut also hurts U.S.-led efforts to make the war financially unsustainable for Russia, threatens a global economy already destabilized by the Ukraine conflict, and risks saddling President Joe Biden and Democrats with rising gasoline prices just ahead of U.S. midterms.

    Menendez’s announcement Monday places him among a growing number of Democrats who, since the announcement by OPEC nations and Russia, have called for stopping what are billions of dollars in annual U.S. arms sales to Saudi Arabia.

    The Democrats accuse Crown Prince Mohammed bin Salman, the kingdom’s de facto ruler, of effectively flouting the Saudi side of a decades-long bargain that has consisted of the U.S. military and defense industry providing security for Saudi Arabia, and Saudi Arabia in turn providing world markets with a reliable flow of oil.

    Senate Majority Leader Chuck Schumer last week was among the Democrats blasting Prince Mohammed for seeming to act in support of Putin’s invasion.

    Schumer declared then that lawmakers were looking at legislative options to deal with what he called Saudi Arabia’s “appalling and deeply cynical action.”

    Democratic lawmakers within a day of the OPEC move were introducing new legislation to stop U.S. arms sales to the kingdom. Menendez’s action Monday, given his key role shepherding foreign policy legislation, raises the prospect that Congress could act to punish the Saudis during the lame-duck period after the November elections.

    It’s not clear how far Menendez and other Democrats would go in practical terms in cutting off weapons deals and most other cooperation with the Saudis, or whether the Biden administration would go along. Biden said last week he was disappointed with Saudi Arabia’s role in the latest oil production cut and said the administration was looking at options.

    There was no immediate reaction from the White House on Monday to Menendez’s move.

    Last week’s oil production cuts delivered one of the sharpest yet in a series of blows in the U.S. and Saudi relationship. They include the 2018 Saudi killing of a U.S.-based journalist, Jamal Khashoggi, in which the U.S. intelligence community concluded the crown prince played a key role. Americans also fault the crown prince for refusing to join in U.S.-led efforts to isolate and punish Putin for his February invasion of Ukraine, and for maintaining seemingly friendly relations with Putin.

    “There simply is no room to play both sides of this conflict — either you support the rest of the free world in trying to stop a war criminal from violently wiping off an entire country off of the map, or you support him,” Menendez said in his statement. “The Kingdom of Saudi Arabia chose the latter in a terrible decision driven by economic self-interest.”

    Biden had sought to patch relations with Prince Mohammed, traveling to Saudi Arabia in July to deliver an awkward fist bump in a conciliatory gesture.

    —-

    Aamer Madhani contributed from Washington.

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  • UN mulls quick foreign troop deployment to ease Haiti crisis

    UN mulls quick foreign troop deployment to ease Haiti crisis

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    SAN JUAN, Puerto Rico — The United Nations Security Council on Monday was evaluating options including the immediate activation of foreign troops to help free Haiti from the grip of gangs that has caused a scarcity of fuel, water and other basic supplies.

    Such a force would “remove the threat posed by armed gangs and provide immediate protection to critical infrastructure and services,” as well as secure the “free movement of water, fuel, food and medical supplies from main ports and airports to communities and health care facilities,” according to a letter U.N. Secretary-General António Guterres submitted to the council on Sunday.

    The letter, which was seen by The Associated Press and has not been made public, said one or several member states would deploy the force to help Haiti’s National Police.

    It also states the secretary-general may deploy “additional U.N. capacities to support a ceasefire or humanitarian arrangements.”

    However, the letter notes that “a return to a more robust United Nations engagement in the form of peacekeeping remains a last resort if no decisive action is urgently taken by the international community in line with the outlined options and national law enforcement capacity proves unable to reverse the deteriorating security situation.”

    The letter was submitted after Haiti Prime Minister Ariel Henry and 18 high-ranking officials requested from international partners “the immediate deployment of a specialized armed force, in sufficient quantity,” to stop the “criminal actions” of armed gangs across the country.

    The request comes nearly a month after one of Haiti’s most powerful gangs seized control of a key fuel terminal in the capital of Port-au-Prince, where some 10 million gallons of diesel and gasoline and more than 800,000 gallons of kerosene are stored.

    Tens of thousands of demonstrators also have barricaded streets in Port-au-Prince and other major cities in recent weeks, preventing the flow of goods and traffic as part of an ongoing protest against a spike in the prices of gasoline, diesel and kerosene.

    Gas stations and schools are closed, while banks and grocery stores are operating on a limited schedule.

    Regis Wilguens, a 52-year-old businessman, said he doesn’t believe the anticipated arrival of foreign troops would change anything.

    “The results are always the same,” he said. “The social problems and economic problems have never been solved.”

    Protesters are demanding the resignation of Henry, who announced in early September that his administration could no longer afford to subsidize fuel.

    The deepening paralysis has caused supplies of fuel, water and other basic goods to dwindle amid a cholera outbreak that has killed several people and sickened dozens of others, with health officials warning that the situation could worsen.

    On Sunday, Haitian senators signed a document demanding that Henry’s “de facto government” defer its request for deployment of foreign troops, saying it is illegal under local laws.

    A spokesman for Henry could not be reached for comment.

    The possible presence of international armed forces is something that bothers Georges Ubin, a 44-year-old accountant, who said he knows of people who have been victimized by peacekeepers and believes foreign intervention would not improve things.

    “The foreign troops are not going to solve the major problems that Haiti has,” he said. “These are problems that have been around since I was born. It never gets better.”

    Haitian officials have not specified what kind of armed forces they’re seeking, with many local leaders rejecting the idea of U.N. peacekeepers, noting that they’ve been accused of sexual assault and of sparking a cholera epidemic that killed nearly 10,000 people during their a 13-year mission in Haiti that ended five years ago.

    The letter that the U.N. secretary-general submitted Sunday suggests that the rapid action force be phased out as Haitian police regain control of infrastructure, and that two options could follow: member states establish an international police task force to help and advise local officers or create a special force to help tackle gangs “including through joint strike, isolation and containment operations across the country.”

    The letter notes that if member states do not “step forward with bilateral support and financing,” the U.N. operation may be an alternative.

    “However, as indicated, a return to U.N. peacekeeping was not the preferred option of the authorities,” it states.

    The letter also says the Security Council could decide to strengthen the police component of the current United Nations Integrated Office in Haiti known as BINUH, and to call on member states to provide additional equipment and training to local police, which are understaffed and lack resources. Only about a third of some 13,000 are operational in a country of more than 11 million people.

    The secretary-general said the issue is a matter of urgency, noting Haiti “is facing an outbreak of cholera amid a dramatic deterioration in security that has paralyzed the country.”

    On Monday, Global Affairs Canada said it was extremely concerned about the impact of armed gang activity that has reached “an unprecedented level.”

    “We are carefully considering Prime Minister Ariel Henry’s appeal in consultation with Haitian authorities and our international partners,” the department said.

    It added that it supports targeted sanctions to stop armed gangs and those who finance violence and insecurity in Haiti.

    The U.S. Embassy in Haiti has granted temporarily leave to personnel and urged U.S. citizens to immediately leave the country.

    As U.N. officials and member states mull Haiti’s request, some people including 35-year-old Allens Hemest hope to see troops arrive soon. He is unemployed. Until recently, he worked at a factory that produced plastic cups but shut down amid the crisis.

    “The whole city is under siege,” he said. “If this is going to bring peace, I’m all for it. We can’t continue living like this.”

    ———

    Associated Press reporters Evens Sanon in Port-au-Prince, Haiti and Rob Gillies in Toronto contributed.

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  • A failed truce renewal in Yemen could further complicate US-Saudi relations | CNN

    A failed truce renewal in Yemen could further complicate US-Saudi relations | CNN

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    Editor’s Note: A version of this story first appeared in CNN’s Meanwhile in the Middle East newsletter, a three-times-a-week look inside the region’s biggest stories. Sign up here.


    Abu Dhabi, UAE
    CNN
     — 

    After a rare six months of relative calm, Yemen’s warring sides last week failed to renew a truce deal, with calls from the United Nations for an extension falling on deaf ears.

    With one side backed by Iran and the other by Saudi Arabia, it remains to be seen whether the US will support its Middle Eastern ally after last week’s whopping oil cut – seen as a snub from the oil-rich kingdom to the Biden administration ahead of the US midterm elections.

    The country’s Iran-backed Houthis and their rival Saudi-led coalition had agreed on a nationwide truce in April, the first since 2016. The two-month truce was renewed twice but came to an end last week over eleventh-hour demands put forward by the Houthis with regards to public sector wages.

    At the last minute, the Houthis imposed “maximalist and impossible demands that the parties simply could not reach, certainly in the time that was available,” said US Special Envoy for Yemen Tim Lenderking in a statement, adding that diplomatic efforts by the US and the UN continue.

    “The unannounced reasons [for not renewing the truce] are speculated to be that the Iranians asked the Houthis, directly, to help escalate things in the region,” said Maged Almadhaji, director of the Sanaa Center for Strategic Studies.

    “Iranians and Houthis are in a difficult political position,” Almadhaji told CNN, adding that Iranians are under immense pressure amid raging protests at home and might be trying to keep Gulf rivals at bay by keeping them occupied with Yemen’s conflict.

    The few months of ceasefire were a breath of fresh air for millions of Yemenis who, in the last seven years of conflict, were driven to “acute need,” the UN said. The peace period saw the monthly rate of people displaced internally dip by 76%, and the number of civilians killed or injured by fighting lowered by 54%, said the UN last week.

    Yemen has been described by the UN as the world’s biggest humanitarian crisis.

    Lenderking said that some aspects of the initial truce are still being upheld, such as relatively low violence, continued fuel shipments that can still offload into the Houthi-held Hodeidah port as well as resumed civilian-commercial flights from Sanaa airport. But the risks are very high.

    The Houthis have already warned investors to steer clear of Saudi Arabia and the United Arab Emirates as they are “fraught with risks” – a message seen as a direct threat that the Iran-backed group is ready to strike once again.

    “With the Houthis, it is always risky not to take their threats seriously,” Peter Salisbury, consultant at International Crisis Group, told CNN.

    Yemen’s Iran-backed Houthis have previously launched attacks on the oil-rich countries, mainly targeting oil fields and key airports. In March, Houthis claimed responsibility for an attack on an Aramco oil storage facility in Jeddah. And in January, they said they were behind a drone strike on fuel trucks near the airport in Abu Dhabi.

    Saudi Arabia has previously sounded alarms to its powerful US security ally over these attacks, criticizing the Biden administration over what it perceived as waning US security presence in the volatile Middle East.

    Security agitation among Gulf monarchies was exacerbated by US nuclear talks with Iran earlier this year, where the possibility of lifted economic sanctions posed the risk of an emboldened Tehran that, it was feared, would, in turn, further empower and arm its regional proxies – predominantly the Houthis.

    But the Houthis are already arguably emboldened, said Gregory Johnsen, a former member of the United Nations’ Panel of Experts on Yemen.

    “I think Iran would like nothing better than to leave the Houthis in Sanaa on Saudi’s border as check against future Saudi behavior,” Johnsen told CNN.

    Saudi Arabia’s strongest security ally has been the US, and traditionally the two countries’ unwritten agreement has been oil in exchange for security – namely against Iranian hostility.

    But now, as Saudi Arabia defies the US with its latest OPEC oil cut, the two countries’ friendship is under increased strain. And with already existing reluctance in congressional politics to increase military support to Saudi Arabia, it remains unclear whether the US will respond with swift support to its Middle Eastern ally should violence flare, said Salisbury.

    A number of US Democratic politicians have accused Saudi Arabia of siding with Russia, saying the oil cut should be seen as a “hostile act” against the US.

    The threats made by certain US senators against Saudi Arabia after Wednesday’s OPEC oil cut – some of whom have called on US President Joe Biden to “retaliate” – are not credible, said Abdulkhaleq Abdulla, a political science professor in the UAE, adding that the response from the Biden administration “has been more restrained.”

    It is in America’s interest to protect Middle Eastern oil producers, Abdulla told CNN, especially as supply tightens amid the Ukraine war and stalled nuclear talks with Iran.

    “At this moment in history, America needs Saudi Arabia, needs the UAE, just as much as we need them for security purposes,” Abdulla said.

    US policy toward Yemen has in recent years been in disarray, analysts say. The Obama administration first backed the Saudi-led coalition in 2016, but levels of support later changed as evidence emerged of civilian casualties in the Saudi-led air campaign.

    Saudi Arabia enjoyed extensive support for its Yemen policy during the Trump administration. In late 2019, Biden promised to make the kingdom a pariah and, a little over a year later, he slashed US support for Saudi Arabia’s offensive operations in Yemen, “including relevant arms sales.”

    The US continues, however, to sell weapons to Saudi Arabia through the loophole of “defense.”

    The Biden administration last August approved and notified Congress of possible multibillion-dollar weapons sales to both Saudi Arabia and the UAE, citing defense against Houthi attacks as a legitimate cause for concern.

    “Now, the US is frustrated with Saudi Arabia and the UAE, while it has no leverage with the Houthis,” said Johnsen. “The US has been lost at sea for the past year and a half when it comes to a Yemen policy,” he added, labelling it a situation largely “of its own making.”

    While there is pressure within the US to sternly react to Saudi Arabia’s energy policies, it is yet to be seen how the US will respond to the developments in Yemen, where some say Washington would be wise to uphold its security guarantees.

    “I don’t think it is in the best interest of America to reduce their military assistance to Saudi Arabia,” said Abdulla. “If they do, it will backfire on America more than many of these senators would imagine.”

    At least 185 people, including at least 19 children, have been killed in nationwide protests across Iran since September, said Iran Human Rights (IHR), an Iran-focused human rights group based in Norway, on Saturday.

    CNN cannot independently verify death toll claims. Human Rights Watch said that, as of September 30, Iranian state-affiliated media placed the number of deaths at 60.

    Now in their third week, protests have swept across Iranian cities following the death of 22-year-old Mahsa Amini, who died after being arrested by morality police and taken to a “re-education center” for not abiding by the country’s conservative dress code.

    Here is the latest on this developing story:

    • Iranian police on Sunday dispersed high school girls who gathered to protest in southwestern Tehran. Meanwhile, an eyewitness told CNN that in the southeastern part of the city, girls took to the street shouting “woman, life, freedom” and “death to the dictator.”
    • The death toll from the crackdown on Saturday’s protests in Iran’s Kurdish city of Sanandaj has increased to at least four, according to the Iranian human rights group Hengaw on Sunday.
    • Iran’s state broadcaster IRINN (Islamic Republic of Iran News Network) was allegedly hacked during its nightly news program on Saturday, according to the pro-reform IranWire outlet, which shared a clip of the hacking. Iran’s semi-official Tasnim News Agency reported on the hacking, saying that IRIB/IRINN’s 9 p.m. newscast was hacked for a few moments by anti-revolutionary elements.
    • The internet connectivity monitoring service NetBlocks on Saturday said that Iran had shut off the internet in the Kurdish city of Sanandaj in an attempt to curb a growing protest movement amid reports of new killings.

    Violent weekend as four Palestinians killed in West Bank, Israeli soldier killed in Jerusalem shooting

    An Israeli soldier has died following a rare shooting at a military checkpoint in East Jerusalem on Saturday, the Israel Defense Forces said. The attack comes after a violent two days in the occupied West Bank where Israeli forces killed four Palestinians, Palestinian authorities said.

    • Background: The shooting happened at a checkpoint of the normally quiet area near the Shuafat Refugee Camp in northeast Jerusalem, an area considered occupied territory by most of the international community. Video of the incident shows a man coming up to a group of soldiers and shooting them point blank before running away. Noa Lazar, an 18-year-old female soldier, was killed, and a 30-year-old guard was critically injured. In a statement, Prime Minister Yair Lapid called the attacker a “vile terrorist” and said Israel will “not rest until we bring these heinous murderers to justice.” Prior to the checkpoint attack, Israeli forces killed four Palestinians in the occupied West Bank over two days, according to Palestinian authorities. Two were killed in the Jenin Refugee Camp on Saturday when, the IDF said, clashes broke out as they came to arrest an “Islamic Jihad operative” that the IDF claimed was “involved in terrorist activities, planning and carrying out shooting attacks towards IDF soldiers in the area.” Another two, including a 14-year-old boy, were killed in separate incidents elsewhere in the territories. The occupied West Bank, especially the areas of Jenin and Nablus, is in an increasingly volatile and dangerous situation, as near-daily clashes take place between the Israeli military and increasingly armed Palestinians.
    • Why it matters: More than 105 Palestinians have been killed by Israeli forces so far this year, making it the deadliest year for Palestinians in the occupied territories since 2015, according to Palestinian health authorities. Israel says most Palestinians killed were engaging violently with soldiers during military operations, although dozens of unarmed civilians have been killed as well, human rights groups including B’Tselem have said. Some 21 civilians and soldiers have been killed so far this year in attacks targeting Israelis.

    US says a failed rocket attack targeted US and partnered forces in Syria

    One rocket was launched at a base housing US and coalition troops in Syria on Saturday night, according to US Central Command. No US or coalition forces were injured in the attack, and no facilities or equipment were damaged, CENTCOM said in a statement.

    • Background: The rocket was a 107mm rocket, and additional rockets were found at the launch site, CENTCOM said. The attack is under investigation. On September 18, a similar rocket attack using 107mm rockets was launched against Green Village in Syria, a base housing US troops. Three 107mm rockets were launched and a fourth was found at the launch site.
    • Why it matters: The attack comes two days after US forces killed two top ISIS leaders in an airstrike in northern Syria, and three days after a US raid killed an ISIS smuggler. Although there is no attribution for the attack, such rocket launches are frequently used by Iranian-backed militias in Syria.

    UAE president to meet with Putin during visit to Russia on Tuesday

    UAE President Sheikh Mohammed bin Zayed al-Nahyan will meet with Russian President Vladimir Putin during a visit to Russia on Tuesday, UAE state-run news agency WAM said.

    • Background: “During his visit, His Highness Sheikh Mohammed will discuss with President Putin the friendly relations between the UAE and Russia along with a number of regional and international issues and developments of common interest,” WAM said.
    • Why it matters: The visit comes less than a week after OPEC+, the international cartel of oil producers, announced a significant cut to output in an effort to raise oil prices. The UAE is a member of the organization led by Saudi Arabia and Russia. CNN has reached out to the UAE government for comment.

    Before clicking enter on your Google search today, take a minute to check out today’s ‘Google Doodle.’ Standing by a library and a lighthouse is prominent Egyptian historian Mostafa El-Abbadi, who would have turned 94 today.

    Hailed as “champion of Alexandria’s Resurrected Library” by the New York Times, he was the key player in resurrecting the Great Library of Alexandria.

    The son of the founder of the College of Letters and Arts at the University of Alexandria, El-Abbadi’s love for academia came at a very young age.

    The intellectual went on to graduate from the University of Cambridge and returned home as a professor of Greco-Roman studies at the University of Alexandria, where his love for the Library of Alexandria grew.

    El-Abbadi sought to restore the glory of the “Great Library” which disappeared between 270 and 250 A.D. – and he succeeded.

    Combined efforts by the Egyptian government, UNESCO, and other organizations led to the opening of the Bibliotheca Alexandrina on October 16, 2002.

    Despite being the main driver of the project, El-Abbadi was not invited to the ceremony after he became a critic of how the scheme was handled by the authorities.

    “It became the project of the presidents, of the people who cut the rope, the people who stood on the front stage, and not of Mostafa El-Abbadi,” said Prof. Mona Haggag, a former student of El-Abbadi and head of the department of Greek and Roman archaeology at the University of Alexandria, according to the New York Times.

    By Mohammed Abdelbary

    Models present creations by Italy's iconic fashion house Stefano Ricci at the temple of the ancient Egyptian Pharaoh Hatshepsut on the west bank of the Nile river, off Egypt's southern city of Luxor, on October 9.

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  • Biden has a big oil problem. Here’s what you need to know about the recent OPEC+ decision. | CNN Politics

    Biden has a big oil problem. Here’s what you need to know about the recent OPEC+ decision. | CNN Politics

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    A version of this story appeared in CNN’s What Matters newsletter. To get it in your inbox, sign up for free here.


    Washington
    CNN
     — 

    With just weeks to go until the November midterms, four letters are haunting President Joe Biden and the Democrats: OPEC.

    Last week, the Organization of Petroleum Exporting Countries (OPEC) and its allies, led by Saudi Arabia and Russia, said that it will slash oil production by 2 million barrels per day, the biggest cut since the start of the pandemic, in a move that threatens to push gasoline prices higher just weeks before US midterm elections.

    The group announced the production cut following its first meeting in person since March 2020. The reduction is equivalent to about 2% of global oil demand.

    The Biden administration criticized the decision in a statement, calling it “shortsighted” and saying that it’s harmful to some countries already struggling with elevated energy prices the most.

    The production cuts will start in November. OPEC+, which combines OPEC countries and allies such as Russia, will meet again in December.

    For one perspective on the OPEC+ decision and to better understand how it affects everyone, we turned to Hossein Askari, who teaches international business at The George Washington University.

    Our conversation, conducted over the phone and lightly edited for flow and brevity, is below.

    WHAT MATTERS: Can you walk us through this recent OPEC decision? What’s happening exactly?

    ASKARI: So when the war in Ukraine started, sorry to tell your audience, but the United States was not very well prepared in what it was going to do. It sanctioned Russia for this and for that. And so the price of oil started going up. And at the same time, the United States actually put sanctions on Russian oil, not on gas, on oil. And so there was less Russian oil in the Western markets.

    Russia actually started selling its oil more and more to China and to India and cutting its prices to those countries. So they would buy Russian oil, but there was a shortage of oil.

    Another reason why the shortage had developed was America basically sanctions like a mad cowboy, if I may say that. It has sanctioned Venezuela for many years.

    But Saudi Arabia, with the new effective ruler who’s known as MBS, he has cozied up to Putin. And so when President Biden went and saw him a few months back and kind of asked him to increase oil production – I’m sorry to say this, I have to throw in this bit of politics – I think America really shamed itself by doing that.

    Of course, MBS did not respond positively. But now he, in fact, has gone over the top. He has agreed within OPEC – and of course he’s the main spokesman in OPEC with Russia – that they will cut back.

    WHAT MATTERS: What does the OPEC decision mean for the average American?

    ASKARI: From where we are now, crude oil prices by the end of the year, my guess, maximum, they’ll go up by $5 a barrel. Now, a lot of people think they’re gonna go up more than that. I don’t believe that, because I think the world economy is going to grow less and I think that we are going to see some Venezuelan oil come on the market, and I think we may see some deals made so some more Iranian oil may come on the market.

    For gasoline, I think Americans can see maybe prices going up from where they are today, if nothing else happens, by about another 30 to 50 cents a gallon.

    However, there is also another problem for Americans that is home heating oil, and that can also go up. So for the average American, they’re going to pay, no matter what, something more per gallon of gasoline at the pump. And I think there’s going to be more of an impact, actually, on the fuel oil that they heat their houses with. So it’s gonna put on the squeeze on the average American. There’s no two ways about it.

    WHAT MATTERS: What should the US do now?

    ASKARI: I think the United States should be much, much tougher with Saudi Arabia because we have bent over backward to accommodate them in every way. And we have looked the other way with what they’ve done. And now it’s the time to be tough. They’ve been tough with us. I think the President of the United States should be tough with Saudi Arabia.

    WHAT MATTERS: What else can the US do in terms of helping with oil prices in the immediate term?

    ASKARI: I think undoubtedly this administration has very bad rapport with US oil companies and energy companies. I think that there should be more behind-the scenes cooperation with the oil companies and the administration because you really need them now to cooperate.

    I know a lot of people don’t believe in fracking, but maybe it’s time to do some more fracking. Maybe it’s time to increase output. They can increase output elsewhere too. I think that would be extremely, extremely helpful.

    And I think the US oil companies – and I’m not a backer of oil companies, please don’t misunderstand – but I think they feel that the administration basically just wants to drive them out business.

    WHAT MATTERS: Anything else you’d like to add?

    ASKARI: Some people think that OPEC decisions are purely economic. Some people think purely political. It has always been both, especially for Saudi Arabia.

    It is really Saudi Arabia and the United Arab Emirates driving OPEC’s decision. I think Americans should understand it’s not the other members, it’s not Nigeria or Iran. I feel Americans should understand who are our friends and who are not our friends.

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  • UN ponders rapid armed force to help end Haiti’s crisis

    UN ponders rapid armed force to help end Haiti’s crisis

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    SAN JUAN, Puerto Rico — U.N. Secretary-General António Guterres submitted a letter to the Security Council on Sunday proposing the immediate activation of a rapid action force following a plea for help from Haiti as gangs and protesters paralyze the country.

    The letter, which was seen by The Associated Press but has not been made public, said the rapid action force would be deployed by one or several member states to help Haiti’s National Police. That force would “remove the threat posed by armed gangs and provide immediate protection to critical infrastructure and services,” as well as secure the “free movement of water, fuel, food and medical supplies from main ports and airports to communities and health care facilities.”

    The letter also states the secretary-general may deploy “additional U.N. capacities to support a ceasefire or humanitarian arrangements.”

    However, the letter notes that “a return to a more robust United Nations engagement in the form of peacekeeping remains a last resort if no decisive action is urgently taken by the international community in line with the outlined options and national law enforcement capacity proves unable to reverse the deteriorating security situation.”

    The letter suggests that the rapid action force be phased out as Haitian police regain control of infrastructure, and that two options could follow: member states establish an international police task force to help and advise local officers or create a special force to help tackle gangs “including through joint strike, isolation and containment operations across the country.”

    The letter notes that if member states do not “step forward with bilateral support and financing,” the U.N. operation may be an alternative.

    “However, as indicated, a return to U.N. peacekeeping was not the preferred option of the authorities,” it states.

    The letter also says the Security Council could decide to strengthen the police component of the current United Nations Integrated Office in Haiti known as BINUH, and to call on member states to provide additional equipment and training to local police, which are understaffed and lack resources. Only about a third of some 13,000 are operational in a country of more than 11 million people.

    The secretary-general said the issue is a matter of urgency, noting Haiti “is facing an outbreak of cholera amid a dramatic deterioration in security that has paralyzed the country.”

    On Friday, Haiti’s government published an official document signed by Prime Minister Ariel Henry and 18 top-ranking officials requesting from international partners “the immediate deployment of a specialized armed force, in sufficient quantity,” to stop the “criminal actions” of armed gangs across the country.

    The request comes nearly a month after one of Haiti’s most powerful gangs surrounded a key fuel terminal in the capital of Port-au-Prince, preventing the distribution of some 10 million gallons of diesel and gasoline and more than 800,000 gallons of kerosene stored on site.

    Tens of thousands of demonstrators also have blocked streets in Port-au-Prince and other major cities in recent weeks, preventing the flow of traffic including water trucks and ambulances, as part of an ongoing protest against a spike in the prices of gasoline, diesel and kerosene.

    Gas stations and schools are closed, while banks and grocery stores are operating on a limited schedule.

    Protesters are demanding the resignation of Henry, who announced in early September that his administration could no longer afford to subsidize fuel.

    The deepening paralysis has caused supplies of fuel, water and other basic goods to dwindle amid a cholera outbreak that has killed several people and sickened dozens of others, with health officials warning that the situation could worsen amid a lack of potable water and cramped living conditions. More than 150 suspected cases have been reported, with the U.N. warning that the outbreak is spreading beyond Port-au-Prince.

    The outbreak comes as UNICEF warns that three-fourths of major hospitals across Haiti are unable to provide critical service “due to the fuel crisis, insecurity and looting.”

    The U.S. Embassy has granted temporarily leave to personnel and urged U.S. citizens to immediately leave Haiti.

    Haitian officials have not specified what kind of armed forces they’re seeking, with many local leaders rejecting the idea of U.N. peacekeepers, noting that they’ve been accused of sexual assault and of sparking a cholera epidemic that killed nearly 10,000 people during their a 13-year mission in Haiti that ended five years ago.

    A Brazilian general and former U.N. peace mission leader who declined to be identified because he is still involved with the U.N. told The Associated Press this weekend that any peacekeeping mission would be established following a decision by the Security Council if it believes there’s a risk to international security.

    The U.N. would send a team for evaluation, and then the Security Council would decide if money is available and which countries would be available for volunteering. He noted that a military mission could cost between 600 to 800 million dollars and would count with 7,000 military components, plus police and civil components.

    “It is an ongoing crisis, which makes it difficult for short term solutions,” he said. “There needs to be international help, no doubt about that.”

    ———

    Associated Press reporter Carla Bridi in Brasilia, Brazil contributed.

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  • Opinion: Biden’s eye-opening warning | CNN

    Opinion: Biden’s eye-opening warning | CNN

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    Editor’s Note: Sign up to get this weekly column as a newsletter. We’re looking back at the strongest, smartest opinion takes of the week from CNN and other outlets.



    CNN
     — 

    “Can you tell me where we’re headin’?” Bob Dylan asks in his 1978 song “Señor.”

    Is it “Lincoln County Road or Armageddon? Seems like I been down this way before. Is there any truth in that, señor?”

    Yes, we’ve been here before, at least if you take President Joe Biden at his word. At a fundraiser in New York City Thursday, Biden said, “First time since the Cuban missile crisis, we have a direct threat of the use (of a) nuclear weapon if in fact things continue down the path they are going.” Referring to Russian President Vladimir Putin’s threat to go nuclear in his war with Ukraine, the President observed, “I don’t think there’s any such thing as the ability to easily (use) a tactical nuclear weapon and not end up with Armageddon.”

    As historian Julian Zelizer wrote, “Those were unsettling words for a nation to hear from the commander in chief.” Biden referred to “the Cuban missile crisis in October 1962, when the world seemed to teeter on the brink of nuclear war as the US and the Soviet Union faced off over missiles in Cuba.”

    “Some planned escape routes from major cities while others stocked up on transistor radios, bottled water and radiation kits for their families. Although nobody knew it at the time, the danger was even greater than most thought as the leaders didn’t have full control of the situation. In the end, diplomacy won out, a deal was reached and disaster was averted.”

    Nick Anderson/Tribune Content Agency

    But the prospect of annihilating humanity in a nuclear exchange is so great that such brinksmanship should never be allowed to happen again. Surely Presidents Ronald Reagan and Mikhail Gorbachev were right when they agreed in 1985 that “a nuclear war cannot be won and must never be fought.”

    US national security officials privately said there was no new intelligence to indicate that Putin is moving to carry out his threat and couldn’t explain why Biden made the extraordinary statement. But its implications were clear, Zelizer argued. “This historic moment in the war between Russia and Ukraine is an important reminder that the US has let nuclear arms control fall from the agenda, and the consequences are dangerous.”

    Putin’s back is against the wall as Ukraine continues to retake territory from the Russians. Peter Bergen wrote that Putin is “facing growing criticism from Russians on both the left and the right, who are taking considerable risks given the draconian penalties they can face for speaking out against his ‘special military operation’ in Ukraine.”

    “With even his allies expressing concern, and hundreds of thousands of citizens fleeing partial mobilization, an increasingly isolated Putin has once again taken to making rambling speeches offering his distorted view of history.”

    One lesson of history is that military defeat endangers dictatorial leaders. “Putin’s gamble may lead to a third dissolution of the Russian empire, which happened first in 1917 as the First World War wound down, and again in 1991 after the fall of the Soviet Union,” Bergen noted. “It could unfold once more as Putin’s dream of seizing Ukraine seems to be coming to an inglorious end.”

    It’s striking to recall, as Frida Ghitis did, that “seven months ago, some viewed Putin as something of a genius. That myth has turned to dust. The man who helped suppress uprisings, entered wars and tried to manipulate elections across the planet now looks cornered.”

    In Ukraine, “Russia’s trajectory looks like a trail of war crimes, with hundreds of bombed hospitals, schools, civilian convoys, and mass graves filled with Ukrainians. And still Ukraine is pushing ahead, is doing very well in fact, and very possibly winning this war,” wrote Ghitis.

    06 opinion column 1008

    Lisa Benson/GoComics.com

    Biden took heat this summer for deciding to meet Saudi Crown Prince Mohammed bin Salman and walking away with little commitment from the Saudis to expand oil production. And then last week, the Saudi regime was instrumental in OPEC+’s decision to actually cut oil production in a move that benefits it and other oil-producing states including Russia.

    “So much for cozying up to the Saudis – President Joe Biden’s much-hyped fist bump with Mohammed bin Salman during a trip to the Middle East back in July has turned into something of a slap across the face from the crown prince,” wrote David A. Andelman.

    In the US, gasoline prices have started rising after weeks of declines, adding to the burdens Democrats face in trying to hold onto control of Congress in the midterm elections a month from now.

    07 opinion column 1008

    Clay Jones

    “The OPEC production cutbacks could – indeed, should – backfire for Saudi Arabia and its complicit partners,” wrote Andelman. “There is growing sentiment in Congress to reevaluate America’s wider relationship with Saudi Arabia and especially the vast arms sales to the kingdom.”

    Higher oil prices come on top of Europe’s emerging energy crisis, with Russia sharply reducing its export of natural gas to the continent. As a result, Germany is among the nations that have instituted tough new curbs on energy use, wrote Paul Hockenos.

    “Step into my Berlin office today and you’ll find everybody is wearing sweaters – I wear two, with wool socks and occasionally a scarf. … At home, my little family has sworn off baths (swift showers please), and lights are on only in the rooms we’re occupying. We’ve invested in a wool curtain inside our apartment’s front door to keep out the draft.”

    “My friend Bill … hasn’t turned his heating on yet this year – no one I know has – and wears a sweater at home. He also has a new method of showering: one minute under warm water, turns it off, lathers up, and then rinses off.”

    “Timing is everything,” said Garrett Hedlund in the 2011 song of that name.

    “When the stars line up

    And you catch a break

    People think you’re lucky

    But you know it’s grace…”

    It works in reverse too. Just ask Linda Stewart, a New Mexico educator in her 60s who decided to retire one year into the pandemic lockdown. “Finances would be a little tight for a while, but some outside projects would supplement my income, so I felt confident I would be able to handle it,” she wrote in a new CNN Opinion series, “America’s Future Starts Now,” which explores the key issues in the midterm campaigns.

    But, Stewart added, “by the end of the second year of lockdown, inflation started taking a toll and money was getting uncomfortably tight. Soon I was in the red each month, just trying to keep up. The usual suspects were groceries and gas, which meant cutting back on some of the more expensive food items and cooking meals at home.”

    “I stopped driving for anything other than essentials. And with the continuing drought here in the Southwest, utility bills went through the ceiling. I cut back on watering my garden and turned the furnace down a few degrees in the winter and the air conditioning up a few in the summer. I switched to washing clothes mostly in cold water and only running the dishwasher once a week.”

    The economy is the issue Americans are most concerned about, and there are no quick, easy solutions to the inflation spike. The second part of CNN Opinion’s new series was a roundup of views on how to help people cope with higher costs.

    03 opinion column 1008

    Scott Stantis/Tribune Content Agency

    The Federal Reserve Bank is raising interest rates at a rapid pace to conquer inflation. The “tight labor market – and the rapid wage growth it has spurred – is causing inflation to become more entrenched,” wrote economist Gad Levanon for CNN Business Perspectives. To curb the rise in prices, “the Federal Reserve is likely to drive the economy into a recession in 2023, crushing continued job growth.”

    05 opinion column 1008

    Dana Summers/Tribune Content Agency

    At least 131 people have died due to Hurricane Ian. Why was it so deadly?

    The storm’s course veered south as it approached Florida and rapidly intensified, Cara Cuite and Rebecca Morss noted. “Emergency managers typically need at least 48 hours to successfully evacuate areas of southwest Florida. However, voluntary evacuation orders for Lee County were issued less than 48 hours prior to landfall, and for some areas were made mandatory just 24 hours before the storm came ashore. This was less than the amount of time outlined in Lee County’s own emergency management plan.”

    “While the lack of sufficient time to evacuate was cited by some as a reason why they stayed behind, there are other factors that may also have suppressed evacuations in some of the hardest hit areas.” Few people are aware of their evacuation zone, and some websites carrying that information crashed in the leadup to the storm’s arrival, Cuite and Morss wrote.

    People need time to decide what to do, pack belongings, find a place to go and arrange how to get there, often in the midst of heavy traffic and other complications and obstacles.” Other factors: “In addition to a false sense of security from prior near-misses among some residents, others who were in the areas of Florida hardest hit by Hurricane Ian may not have had any personal experience with such powerful storms. This is likely true for the millions of people who have moved to Florida over the past few decades…”

    For more:

    Adam H. Sobel: Where the hurricane risk is growing

    Geoff Duncan, a Republican and the current lieutenant governor of Georgia, is unsure about Herschel Walker’s prospects in the upcoming election. The Republican Senate candidate has denied reports alleging he paid for a girlfriend’s abortion in 2009.

    “The October surprise,” Duncan wrote, “has upended the political landscape, throwing one of the nation’s closest midterm races into turmoil five weeks before Election Day, but it never had to be this way. Just as there should not be two Democrats representing a center-right state like Georgia in the US Senate, the Republican Party should not have found its chance of regaining a Senate majority hanging on an untested and unproven first-time candidate.”

    “Walker won his Senate primary not because of his political chops or policy proposals. He trounced his opponents because of his performance on the football field 40 years ago and his friendship with former President Donald Trump – neither of which are guaranteed tickets to victory anymore.

    02 opinion column 1008

    Drew Sheneman/Tribune Content Agency

    For more on politics:

    SE Cupp: Herschel Walker’s ‘October Surprise’ won’t matter

    Tim Kane: What the Biden administration is getting wrong on immigration

    Nicole Hemmer: The Onion is right about the future of democracy

    Dean Obeidallah: The single-minded goal of Trump-loving Republicans

    Organic chemistry is a famously difficult course and a traditional prerequisite for students who want to go on to medical school. Maitland Jones Jr., a master of the field and textbook author, taught the course at NYU – until 82 of the 350 students taking it “signed a petition because, they said, their low scores demonstrated that his class was too hard,” Jill Filipovic noted.

    Then the university fired him.

    An NYU spokesman “told the (New York) Times in defense of their decision to terminate Jones’s contract that the professor had been the target of complaints about ‘dismissiveness, unresponsiveness, condescension and opacity about grading.’ It’s worth noting that according to the Times, students expressed surprise that Jones was fired, which their petition did not call for.”

    Some of the student complaints may have been valid, noted Filipovic, but she added that the case “raises important questions, chief among them how much power students, who universities seem to increasingly think of as consumers (and some of whom think of themselves that way), should have in the hiring, retention and firing of professors…”

    “There are real consequences … to making higher education primarily palatable to those paying tuition bills – particularly when it comes to courses like organic chemistry, which are intended to be difficult. Future medical students do in fact need a rigorous science background in order to be successful doctors someday. Whether or not Jones was an effective teacher for aspiring medical students is up for debate, but in firing him, NYU is effectively dodging questions about the line between academic rigor and student well-being with potentially life-and-death matters at stake.”

    Kim Kardashian 0924

    Alessandro Garofalo/Reuters

    The Securities and Exchange Commission fined Kim Kardashian nearly $1.3 million for failing to disclose she was paid to promote a crypto asset, EthereumMax, noted Emily Parker.

    “This case reflects a much larger problem in the crypto industry: Celebrities are using their influence to promote cryptocurrencies, a notoriously complex and risky asset class, which can lead people to invest in coins or projects that they may not understand,” Parker observed.

    “New coins and projects are constantly popping up, sometimes without sufficient warnings about the risks of investing … In such a fast-changing and confusing market, how do you distinguish winners from losers? It’s easy to imagine how a confident tweet by a celebrity could have a significant impact on a new investor.”

    In agreeing to the fine, Kardashian “did a favor for the cryptocurrency industry. Such a high-profile example could cause other celebrities to think twice before shilling a token on social media.”

    04 opinion column 1008

    Bill Bramhall/Tribune Content Agency

    Alejandro Mayorkas: The security risk Congress needs to take seriously

    Danae Wolfe: Stomping alone won’t wipe out the spotted lanternfly

    Victoire Ingabire Umuhoza: Inside the prison where sunlight ceases to exist

    Jeremi Suri and William Inboden: A generation of the world’s best leaders has died

    Sara Stewart: ‘Dahmer’ debate is finally saying the quiet part about true crime out loud

    Elisa Massimino: It’s time to shut down Guantanamo

    Pete Brown: What ‘fancy a pint?’ really means

    AND…

    01 Trevor Noah file

    Rich Fury/Getty Images/FILE`

    Until recently, the late-night television formula ruled, as Bill Carter noted. “On the air after 11 p.m. with a charismatic host, some comedy, a desk, a guest or two, maybe a band and then ‘Good night, everybody!’” Late-night shows seemed to be holding their own despite the rise of cord-cutting and the move to streaming.

    But that’s changing, as Trevor Noah’s decision to give up hosting “The Daily Show” suggested. Carter wrote, “What many people watch now is not television: It’s whatever-vision, entertainment by any means on any device. What’s on late night is now often seen on subscriptions – and not late at night.”

    Noah is leaving on a high note “after a seven-year run, marked by an impressive body of comedy work and growing acclaim,” Carter observed. In succeeding Jon Stewart as the show’s host, Noah “had a different beat in his head from the start. He wanted to refashion the show with a wider comedy vision, one looking more out at the world, instead of purely in at the United States, all informed by Noah’s South African-born global perspective.”

    “It was a wise choice. Following Stewart was always going to be a potentially crippling challenge. Noah took it on and remade the show to his own specifications. One major sign of that was how strikingly diverse the show became.”

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  • Two teens and a child among 10 people killed in Ireland gas station explosion | CNN

    Two teens and a child among 10 people killed in Ireland gas station explosion | CNN

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    CNN
     — 

    Ten people, including two teenagers and a young child, were killed in Friday’s explosion at a gas filling station in the northwest of Ireland, local authorities said.

    Irish police said that among the 10 dead in the blast in Donegal ere four men, three women, a teenage boy, a teenage girl, and another younger girl. Police said earlier that eight people had been injured.

    The explosion happened shortly after 3 p.m. local time on Friday in County Donegal at the Applegreen petrol station on the outskirts of the village of Creeslough.

    Police said they believed it was a “tragic accident,” and the largest number of civilian casualty seen in decades in the region.

    Superintendent David Kelly said: “This is a tragedy for our community. There are families left devastated.

    “I want to offer, on behalf of myself and my colleagues that attended the scene, our very sincere condolences.

    Speaking on Saturday morning to the national broadcaster RTE, Irish Prime Minister, known as the Taoiseach, Micheál Martin expressed his condolences.

    Martin said: “It is absolutely devastating and quite shocking in terms of the enormity of this tragedy, the scale of it. An explosion ripping through the normality of a community, with people going to the shop, the normal toing and froing of life.

    “Community is what defines our people and we are witnessing a terrible tragedy in a wonderful community,” he said.

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  • Newsom to call special legislative session over gas prices

    Newsom to call special legislative session over gas prices

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    SACRAMENTO, Calif. — California Gov. Gavin Newsom said Friday he will call a special session of the state Legislature in December to pass a new tax on oil company profits to punish them for what he called “rank price gouging.”

    Gas prices soared across the nation this summer because of high inflation, Russia’s invasion of Ukraine and ongoing disruptions in the global supply chain.

    But while gas prices have recovered somewhat nationwide, they have continued to spike in California, hitting an average of $6.39 per gallon on Friday — $2.58 higher than the national average, according to AAA.

    California has the second-highest gas tax in the country and other environmental rules that increase the cost of fuel in the nation’s most populous state. Still, Newsom said there is “nothing to justify” a price difference of more than $2.50 per gallon between California’s gas and prices in other states.

    “It’s time to get serious. I’m sick of this,” Newsom said. “We’ve been too timid.”

    The oil industry has pointed to California’s environmental laws and regulations to explain why the state routinely has higher gas prices than the rest of the country. Kevin Slagle, vice president of the Western States Petroleum Association, said Newsom and state lawmakers should “take a hard look at decades of California energy policy” instead of proposing a new tax.

    “If this was anything other than a political stunt, the Governor wouldn’t wait two months and would call the special session now, before the election,” Slagle said. “This industry is ready right now to work on real solutions to energy costs and reliability — if that is what the Governor is truly interested in.”

    Several states chose to suspend their gas taxes this summer, including Maryland, New York and Georgia. Newsom and his fellow Democrats that control the state Legislature refused to do that, opting instead to send $9.5 billion in rebates to taxpayers — which began showing up in bank accounts this week.

    It’s unclear how the tax Newsom is proposing would work. Newsom said he is still working out the details with legislative leaders, but on Friday said he wants the money to be “returned to taxpayers,” possibly by using money from the tax to pay for more rebates.

    The state Legislature briefly considered a proposal earlier this year that would have imposed a “windfall profits tax” on oil companies’ gross receipts when the price of a gallon of gasoline was “abnormally high compared to the price of a barrel of oil.”

    That proposal would have required state regulators to determine the tax rate, making sure it recovered any oil companies’ profit margins that exceeded 30 cents per gallon. The money from the tax would then have been returned to taxpayers via rebates.

    Newsom did not comment on that proposal when it was introduced in March, and lawmakers quickly shelved it. It could, however, act as a blueprint for the new proposal being negotiated between Newsom and legislative leaders.

    The Legislature’s top two leaders — Senate President Pro Tempore Toni Atkins and Assembly Speaker Anthony Rendon — said in a joint statement that lawmakers “will continue to examine all other options to help consumers.”

    “A solution that takes excessive profits out of the hands of oil corporations and puts money back into the hands of consumers deserves strong consideration by the Legislature,” they said. “We look forward to examining the Governor’s detailed proposal when we receive it.”

    California Republicans — who do not control enough seats to influence policy decisions in the Legislature — have called the tax “foolhardy.”

    “Who here thinks that another tax is going to bring down your gas prices? Is going to bring down any costs in this state? It’s not going to happen,” Assembly Republican Leader James Gallagher told reporters on Wednesday.

    Last month, regulators at the California Energy Commission wrote a letter to five oil refiners — Chevron, Marathon Petroleum, PBF Energy, Phillips 66 and Valero — demanding an explanation for why gas prices jumped 84 cents over a 10-day period even as oil prices fell. The commission wrote that the oil industry had “not provided an adequate and transparent explanation for this price spike, which is causing real economic hardship to millions of Californians.”

    On Friday, Scott Folwarkow, Valero’s vice president for state government affairs, responded that “California is the most expensive operating environment in the country and a very hostile regulatory environment for refining.” He said that has caused refineries to close and tightened supply because California requires refineries to produce a specific fuel blend.

    He declined to provide details about the company’s operations based on the same anti-trust concerns. But he said the company makes appropriate arrangements to source supply when some refineries are down for maintenance.

    Newsom dismissed those arguments, saying that still doesn’t account for a $2.50 difference between California’s gas prices and those in the rest of the country.

    “These guys are playing us for fools. They have for decades,” Newsom said.

    The California Legislature usually meets between January and August, where they consider bills on a variety of topics. The governor has the power to call a special legislative session at any time by issuing a proclamation. When convened in a special session, lawmakers can only consider the issues mentioned in that proclamation.

    The last time a California governor called a special legislative session was in 2015, when then-Gov. Jerry Brown asked lawmakers to pass bills about health care and transportation.

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  • EXPLAINER: How will OPEC+ cuts affect gas prices, inflation?

    EXPLAINER: How will OPEC+ cuts affect gas prices, inflation?

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    FRANKFURT, Germany — Major oil-producing countries led by Saudi Arabia and Russia have decided to slash the amount of oil they deliver to the global economy.

    And the law of supply and demand suggests that can only mean one thing: higher prices are on the way for crude, and for the diesel fuel, gasoline and heating oil that are produced from oil.

    The decision by the OPEC+ alliance to cut 2 million barrels a day starting next month comes as the Western allies are trying to cap the oil money flowing into Moscow’s war chest after it invaded Ukraine.

    Here is what to know about the OPEC+ decision and what it could mean for the economy and the oil price cap:

    WHY IS OPEC+ CUTTING PRODUCTION?

    Saudi Arabia’s Energy Minister Abdulaziz bin Salman says that the alliance is being proactive in adjusting supply ahead of a possible downturn in demand because a slowing global economy needs less fuel for travel and industry.

    “We are going through a period of diverse uncertainties which could come our way, it’s a brewing cloud,” he said, and OPEC+ sought to remain “ahead of the curve.” He described the group’s role as “a moderating force, to bring about stability.”

    Oil prices had fallen after a summer of highs. Now, after the OPEC+ decision, they are heading for their biggest weekly gain since March. Benchmark U.S. crude rose 3.2% on Friday, to $91.31 per barrel. Brent crude, the international standard, rose 2.8% to $97.09, though it’s still down 20% from mid-June, when it traded at over $123 per barrel.

    One big reason for the slide is fears that large parts of the global economy are slipping into recession as high energy prices — for oil, natural gas and electricity — drive inflation and rob consumers of spending power.

    Another reason: The summer highs came about because of fears that much of Russia’s oil production would be lost to the market over the war in Ukraine.

    As Western traders shunned Russian oil even without sanctions, customers in India and China bought those barrels at a steep discount, so the hit to supply wasn’t as bad as expected.

    Oil producers are wary of a sudden collapse in prices if the global economy goes downhill faster than expected. That’s what happened during the COVID-19 pandemic in 2020 and during the global financial crisis in 2008-2009.

    HOW IS THE WEST TARGETING RUSSIAN OIL?

    The U.S. and Britain imposed bans that were mostly symbolic because neither country imported much Russia oil. The White House held off pressing the European Union for an import ban because EU countries got a quarter of their oil from Russia.

    In the end, the 27-nation bloc decided to cut off Russian oil that comes by ship on Dec. 5, while keeping a small amount of pipeline supplies that some Eastern European countries rely on.

    Beyond that, the U.S. and other Group of Seven major democracies are working out the details on a price cap on Russian oil. It would target insurers and other service providers that facilitate oil shipments from Russia to other countries. The EU approved a measure along those lines this week.

    Many of those providers are based in Europe and would be barred from dealing with Russian oil if the price is above the cap.

    HOW WILL OIL CUTS, PRICE CAPS AND EMBARGOES CLASH?

    The idea behind the price cap is to keep Russian oil flowing to the global market, just at lower prices. Russia, however, has threatened to simply stop deliveries to a country or companies that observe the cap. That could take more Russian oil off the market and push prices higher.

    That could push costs at the pump higher, too.

    U.S. gasoline prices that soared to record highs of $5.02 a gallon in mid-June had been falling recently, but they have been on the rise again, posing political problems for President Joe Biden a month before midterm elections.

    Biden, facing inflation at near 40-year highs, had touted the falling pump prices. Over the past week, the national average price for a gallon rose 9 cents, to $3.87. That’s 65 cents more than Americans were paying a year ago.

    “It’s a disappointment, and we’re looking at what alternatives we may have,” he told reporters about the OPEC+ decision.

    WILL THE OPEC PRODUCTION CUT MAKE INFLATION WORSE?

    Likely yes. Brent crude should reach $100 per barrel by December, says Jorge Leon, senior vice president at Rystad Energy. That is up from an earlier prediction of $89.

    Part of the 2 million-barrel-per-day cut is only on paper as some OPEC+ countries aren’t able to produce their quota. So the group can deliver only about 1.2 million barrels a day in actual cuts.

    That’s still going to have a “significant” effect on prices, Leon said.

    “Higher oil prices will inevitably add to the inflation headache that global central banks are fighting, and higher oil prices will factor into the calculus of further increasing interest rates to cool down the economy,” he wrote in a note.

    That would exacerbate an energy crisis in Europe largely tied to Russian cutbacks of natural gas supplies used for heating, electricity and in factories and would send gasoline prices up worldwide. As that fuels inflation, people have less money to spend on other things like food and rent.

    Other factors also could affect oil prices, including the depth of any possible recession in the U.S. or Europe and the duration of China’s COVID-19 restrictions, which have sapped demand for fuel.

    WHAT WILL THIS MEAN FOR RUSSIA?

    Analysts say that Russia, the biggest producer among the non-OPEC members in the alliance, would benefit from higher oil prices ahead of a price cap. If Russia has to sell oil at a discount, at least the reduction starts at a higher price level.

    High oil prices earlier this year offset much of Russia’s sales lost from Western buyers avoiding its supply. The country also has managed to reroute some two-thirds of its typical Western sales to customers in places like India.

    But then Moscow saw its take from oil slip from $21 billion in June to $19 billion in July to $17.7 billion in August as prices and sales volumes fell, according to the International Energy Agency. A third of Russia’s state budget comes from oil and gas revenue, so the price caps would further erode a key source of revenue.

    Meanwhile, the rest of Russia’s economy is shrinking due to sanctions and the withdrawal of foreign businesses and investors.

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  • Facing risk of blackouts this winter, the UK will drill for more oil | CNN Business

    Facing risk of blackouts this winter, the UK will drill for more oil | CNN Business

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    London
    CNN Business
     — 

    The UK government could award oil and gas companies more than 100 new licenses to drill in the North Sea, as it looks for ways to bolster energy security amid a global supply crunch.

    Launched Friday, the licensing round won’t lead to new UK production for several years. And when drilling does begin, Britain will still be dependent on energy imports, according to the government, leaving it vulnerable to soaring prices and supply disruptions of the kind that threaten blackouts this winter.

    UK utilities company National Grid

    (NGG)
    warned Thursday that households and businesses could be left without power for up to three hours at a time in a worst-case scenario of very cold weather, low levels of wind, gas shortages and an inability to import electricity from Europe. It said it would take steps to mitigate the risk, including bringing old coal-fired power stations back online if necessary.

    Starting November 1, National Grid will also offer financial incentives to customers to reduce power consumption at peak times.

    Kathryn Porter, an energy consultant at Watt-Logic, told CNN Business that National Grid was still underestimating the risks to supply, but that blackouts for households were unlikely because it could disconnect large energy users at peak times if necessary.

    The latest licensing round won’t improve the immediate supply picture and could face a legal challenge from environmental activists. Greenpeace said that new oil and gas licenses were “potentially unlawful” and that it would be looking for ways to act.

    “New oil and gas licenses won’t lower energy bills for struggling families this winter or any winter soon nor provide energy security in the medium term,” Philip Evans, energy transition campaigner for Greenpeace UK, said in a statement.

    “New licenses — and more importantly more fossil fuels — solve neither of those problems but will make the climate crisis even worse,” he added.

    Analysis by the North Sea Transition Authority (NSTA), the regulator that grants licenses, shows the average time between discovery of oil and gas deposits and first production is close to five years, though that lag is “falling.”

    In a statement on Friday, the NSTA said it will prioritize areas in the southern North Sea that can be developed quickly and where gas has already been discovered. Companies have until January 12 to apply for licenses, with permits expected to be issued as soon as the second quarter of 2023.

    The NSTA said the licensing round has been subject to a “climate compatibility check” to ensure it aligns with the UK government’s commitment to reach net zero carbon emissions by 2050. It added that producing gas domestically has a much lower carbon footprint than importing it from abroad.

    The International Energy Agency said last year that investment in new fossil fuel supply projects, including drilling for oil and gas, must stop immediately if the world is to limit global warming to 1.5 degrees Celsius above preindustrial levels.

    The UK government set out plans earlier this year to generate 95% of Britain’s electricity from low carbon sources by 2030. The plan, which allows drilling for oil and gas, will also ramp up nuclear power and wind energy.

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