How is the White House planning on combatting inflation, gas hikes?

President Biden hosted a major economies forum on energy and climate on Friday. It's there he called on nations to take action.

WASHINGTON, D.C. – President Joe Biden hosted the Major Economies Forum on Energy and Climate. It’s there he called on nations to take action amid record-high inflation.

“Russia’s war is driving up inflation worldwide, threatening vulnerable countries with fuel shortages,” said Biden.

As gas prices hit north of $5 a gallon some economists predict that gas will hit $6 a gallon in August. So what is the White House doing to combat the problem?

Emilie Simons, the assistant White House press secretary said: “We are meeting with oil companies next week through the administration at the Department of Energy to see what more we can do as a government to be helpful and increase production.”

This week, Biden sent a letter to major oil companies writing: “Refinery profit margins well above normal being passed directly onto American families are not acceptable.”

And he told them to use profits instead on increasing production of gas and diesel.

“Our nations are working together to stabilize global energy markets including the largest release of global oil reserve in history,” he said.

It comes as the Federal Feserve announced raising key interest rates three-quarters of a percent, which is the biggest hike in 28 years and making it the central bank’s most aggressive move yet in an effort to cool down the economy and lower prices.

The Fed will be meeting again next month and they could raise rates again.

About the Author:

Ben Kennedy is an Emmy Award-winning Washington Bureau Chief for Local 10 News. He has more than a decade of reporting experience nationwide.