Oil slumps by around $5 as Biden calls for fuel tax cut

Oil prices tumbled amid a push by U.S. President Joe Biden

Oil prices tumbled on Wednesday amid a push by U.S. President Joe Biden to cut taxes on fuel to cut costs for drivers amid aggravated relations between the White House and the U.S. oil industry.

Qazet.az reports that brent crude futures were down $4.65, or 4.1%, at $110.00 a barrel while U.S. West Texas Intermediate (WTI) futures fell $5.08, or 4.6%, to $104.44by 0918 GMT.

Earlier in the session, both contracts had shed over $6 each to hit their lowest levels since May 19 and 12, respectively.

Lawmakers of both major parties have expressed resistance to suspending the federal tax.

"The latest in a long line of attempts to temper surging prices at the pumps is having the desired effect. Yet whether this knee-jerk reaction will stand the test of time is by no means guaranteed," said PVM's Stephen Brennock, pointing to an expected summer demand surge.

Biden is expected to make the announcement at 18:00 GMT.