U.S. oil prices reached $90 a barrel Thursday for the first time in nearly a year, with the spike coming shortly after Saudi Arabia announced extended production cuts.

West Texas intermediate crude prices hit $90.25 Thursday, surpassing the $90 for the first time since November. 

Gasoline prices are on the rise again, the pain of which is felt not just at the pump but in the purchase of every good that relies on the combustion engine to make its way to your doorstep. The cascading effect of higher gas prices has the Biden administration and its Democratic allies nervous. At least, that’s what trained eyes can detect from the subtle cues voters are receiving from the press. Take, for example, Politico’s latest attempt to defuse this political time bomb:

Americas are paying high prices at the pump ahead of the Labor Day holiday due to rising crude oil prices and limited refinery capacity. However, relief is likely on the way.

Gas prices in the US have shot up this week, and the heatwave that’s plaguing large parts of the country has something to do with it. Refinery outages become more frequent as the temperatures touch triple-digit Fahrenheit, crimping production at oil refineries in the US. Texas, where most US refineries are located, is facing its most extreme summer.

The national average price for a gallon of gas was $3.54 for the week ending June 29, according to the latest report by AAA. That marked a four-cent drop from the previous week and could spell good news for motorists getting ready to travel for the 4th of July weekend. 

"Drivers hitting the road for the Fourth of July holiday will find the gift of lower gas prices across most of the country," AAA said in its report. 

Mathew Alvarez is excited to drive more than 100 miles from Los Angeles to Tehachapi, Calif., to visit his family this Fourth of July, encouraged by gasoline prices well below last year’s levels. 

The 36-year-old machinist didn’t spend time with his family during the holiday last year, mainly because of record-high gas prices. That prompted him to sell his Volkswagen Jetta in December for a hybrid Ford Escape. Each fill-up now costs him $15 every week instead of $60.

The roads will be crowded this Fourth of July weekend, but travelers have at least one thing going for them: much cheaper gas prices than last year.

A record-setting 43.2 million Americans are expected to travel by car this holiday weekend, according to AAA. That’s 2.4% higher than last Fourth of July.

And yet gasoline prices are much lower. The national average for regular gasoline dipped to $3.55 a gallon on Thursday, according to AAA. A year ago, a gallon of regular sold for an average of $4.87 a gallon.

Oil prices rose Monday after Saudi Arabia said it would slash output by another one million barrels per day for at least a month starting in July as part of an effort by OPEC+ producers to shore up crude prices.

At 5.30 a.m. ET, Brent crude, the global benchmark, was trading up 2.3% at nearly $78 a barrel, while WTI, the US benchmark, rose 2.4% to $73.50. Gasoline futures were up 1.5%, but the average US pump price for a gallon of regular unleaded gas was unchanged at $3.55.

The government of Saudi Arabia announced Sunday that it will voluntarily cut oil production by about 1 million barrels a day, likely sending gas prices higher this summer in the U.S.

The Gulf kingdom, the largest oil producer in the Organization of Petroleum Exporting Countries, confirmed that it will cut production from 10 million to 9 million barrels despite OPEC at large announcing it will not alter production plans for the remainder of 2023.

Saudi Arabia will cut its oil production by 1 million barrels per day in a move to boost oil prices, according to a Sunday announcement.

“This is a Saudi lollipop,” Saudi Energy Minister Prince Abdulaziz said of the decision reported in Reuters.