"Joe Biden Allegedly Considering New Restrictions on Russian Energy"

Forex - The Biden administration is considering new and significant financial sanctions against Russia in the energy sector, partially to provide leverage to the incoming Trump team in negotiations regarding Ukraine. However, Biden may not want to raise gas prices even in his final days in office.

Four people familiar with the matter indicated that President Joe Biden has been focusing on new sanctions targeting Russia's energy sector in the final weeks of his administration, contemplating a decisive blow in the financial war against Vladimir Putin. These individuals, who spoke on the condition of anonymity to disclose non-public negotiations, stated that this move would also give the newly elected Donald Trump’s team more leverage in negotiations with Putin aimed at ending Russia's war with Ukraine.

According to a few knowledgeable sources, the sanctions would target the "dark fleet" of international ships transporting Russian oil to non-Western countries and Russian oil exporters that have not faced sanctions thus far. These individuals noted that one option includes the revocation of licenses allowing banks to conduct transactions related to Russian energy.

If implemented, the penalties could help shape Biden's economic and foreign policy legacies prior to Trump taking office. A significant step against Russia before leaving office would bolster Biden's claims of having successfully convinced Western allies to respond strongly to Russia's invasion of Ukraine in 2022. Biden is also determined to pass on a strong economy to his successor - a success that could be undermined by a sudden energy shock reminiscent of the price increases experienced at the beginning of his administration.