"(Bloomberg) -- The US and its allies have discussed trying to cap the price on Russian oil between $40 and about $60 a barrel, according to people familiar with the matter.

Allies have been exploring several ways to limit Russia’s oil revenues while minimizing the impact on their own economies in discussions that began in the run-up to the Group of Seven summit.

At the summit in Germany on June 28 leaders agreed to explore options to cap prices by banning insurance and transportation services needed to ship Russian crude and petroleum products unless the oil is purchased below an agreed price."

Wishful thinking?

Or US and Allies are now trying to wiggle out from the sanction trap they had set up?

"One issue is that the mechanism would require the European Union to introduce exemptions to sanctions the bloc adopted at the beginning of June when it agreed to an outright ban on those services after overcoming weeks of intense negotiations between member states. "

On Thursday, July 7, 2022 at 1:13:19 AM UTC+8, ltlee1 wrote:
> "(Bloomberg) -- The US and its allies have discussed trying to cap the price on Russian oil between $40 and about $60 a barrel, according to people familiar with the matter.
>
> Allies have been exploring several ways to limit Russia’s oil revenues while minimizing the impact on their own economies in discussions that began in the run-up to the Group of Seven summit.
>
> At the summit in Germany on June 28 leaders agreed to explore options to cap prices by banning insurance and transportation services needed to ship Russian crude and petroleum products unless the oil is purchased below an agreed price."
>
> Wishful thinking?
>
> Or US and Allies are now trying to wiggle out from the sanction trap they had set up?
>
> "One issue is that the mechanism would require the European Union to introduce exemptions to sanctions the bloc adopted at the beginning of June when it agreed to an outright ban on those services after overcoming weeks of intense negotiations between member states. "

This is absurd of the US to set and demand how much price they wish to pay. Russia should make clear not to sell at that price and can decide not to sell to US and any of its allies too. Russia should double the current market price for US and its allies. They should use some profit to reduce the price of oil and gas sold to poor countries, instead.

On Thursday, July 7, 2022 at 9:31:16 PM UTC-4, stoney wrote:
> On Thursday, July 7, 2022 at 1:13:19 AM UTC+8, ltlee1 wrote:
> > "(Bloomberg) -- The US and its allies have discussed trying to cap the price on Russian oil between $40 and about $60 a barrel, according to people familiar with the matter.
> >
> > Allies have been exploring several ways to limit Russia’s oil revenues while minimizing the impact on their own economies in discussions that began in the run-up to the Group of Seven summit.
> >
> > At the summit in Germany on June 28 leaders agreed to explore options to cap prices by banning insurance and transportation services needed to ship Russian crude and petroleum products unless the oil is purchased below an agreed price."
> >
> > Wishful thinking?
> >
> > Or US and Allies are now trying to wiggle out from the sanction trap they had set up?
> >
> > "One issue is that the mechanism would require the European Union to introduce exemptions to sanctions the bloc adopted at the beginning of June when it agreed to an outright ban on those services after overcoming weeks of intense negotiations between member states. "
> This is absurd of the US to set and demand how much price they wish to pay. Russia should make clear not to sell at that price and can decide not to sell to US and any of its allies too. Russia should double the current market price for US and its allies. They should use some profit to reduce the price of oil and gas sold to poor countries, instead.

Here is the new twist:

"TOKYO—Treasury Secretary Janet Yellen discussed the possibility of placing a cap on the price
of Russian oil during a virtual meeting with Chinese Vice Premier Liu He, in one of the first signs
of American efforts to pitch China on a plan to limit Russia’s revenue from oil sales.

Ms. Yellen said she and her Chinese counterpart would continue working on the idea, in an interview
with The Wall Street Journal in Tokyo, the beginning stop in her first trip to Asia as Treasury secretary.
Ms. Yellen and Mr. Liu spoke last week, but their discussions on the price cap plan weren’t previously
known.

“They listened and were prepared to have further discussions with us about it,” Ms. Yellen said.

China along with India are two critical targets in Ms. Yellen’s quest to create a cap on the price of Russian
oil. Both countries continue to purchase large amounts of Russian oil and have refrained from joining
Western efforts to sanction Russia after its invasion of Ukraine, with China earlier this year signing a
broad cooperation agreement with Russia."

How about the elephant in the room? World price is currently dominated by Western
oil giants. They get huge windfall profits because of US and allies sanction against
Russia. The scarcity is artificially created.