By Blake Haas
BLOOMINGTON – According to a Central Illinois Financial Advisor, turmoil in Afghanistan could cause prices to rise at the gas pump.
However, that picture is unclear as the United States pulls out of Afghanistan after a 20-year campaign in the country.
“Anytime you have instability of any kind in that region of the world, it’s going to throw the oil production component of it into the front of discussion,” said Chris Ruedi, a Financial Advisor with Savant Wealth Management.
This week the U.S.-backed Afghan government collapsed as the Taliban entered the country’s capital of Kabul, causing President Joe Biden to order all Americans to leave the county.
“There could be more (take over by the Taliban), this could be it, you know it could go beyond Afghanistan. That could cause oil prices to go up if production (is) threatened in any way,” added Ruedi. “But, you know, really, I also think that if we had not maybe taken some steps we had to not be, you know, energy-dependent ourselves; that pullback of losing the pipeline, of creating our own oil-based products here domestically, also throws more uncertainty on that, which could lead to potentially higher prices.”
Speaking with WJBC’s Marc Strauss, Rueidi said the chaos in Afghanistan could hinder oil production, leading to higher prices at the pump.
On Monday, President Joe Biden defended his decision to withdraw U.S. troops from Afghanistan.
Blake Haas can be reached at Blake.Haas@Cumulus.com.