Over the last few months oil companies have taken record profits at a time when Americans struggled to pay for fuel, food and other basic necessities.
Exxon Mobil reported on Friday an unprecedented $17.85 billion profit for the second quarter and Chevron made a record $11.62 billion. The record breaking profits come only a day after the U.K.’s Shell smashed its own profit record.
Increasing energy prices have angered consumers and become a political flash point. Last month, President Joe Biden said that “Exxon made more money than God this year. “
Consumers are not just facing high fuel prices at the pump, but also increasing energy prices are being shared in delivery costs, in return is driving up the cost of everything from apples to toilet paper.
The unprecedented profits marked an amazing turnaround from the early days of the COVID-19 pandemic, when cities were locked down and demand for fuels dropped. Numerous bankruptcies and thousands of layoffs happened.
The industry has long gone through boom-and-bust cycles, but high prices could linger for some time due to the ongoing war Russia waged on Ukraine, which resulted in less oil and gas on the market from Russia, as well as other global supply constraints.
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