With a disputed report of a possible pipeline blast in Saudi Arabia and India's refusal to cut oil imports from Iran as part of the sanction against them regarding the Iranian nuclear policy, oil prices soared higher today to $110 per barrel. The price of oil has leaped to its highest since its peak in mid-2008.
With no relief in sight, gas prices will continue its upward climb. In cities in California and New York, gas prices have already reached $5 a gallon.
The president, in a definite political ploy to curry favor with voters, is going to release oil from the strategic reserve during the summer. In a speech in Florida, the president made it clear that it is not amount of oil on the market that is driving gas prices up. According Obama, there are many factors including India's and China's demand for gasoline that is driving the price up.
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