Oil Price Impact on U.S. Economy

The OPEC deal on Nov 30, caused an immediate rise in oil prices, but the long-term impact on the U.S. economy is expected to be more gradual. OPEC agreed to cut output by 1.2 million barrels per day. Oil prices rose 12 % on Nov 30-Dec 1. Lower oil prices in the past two years have hunt U.S. drillers and the economy, but meant lower prices at the pump for consumers. GasBuddy, a site used to comparison-shop for gasoline, expects gasoline prices to rise by 5 to 15 cents. The official OPEC cuts go into effect in January 2017.