US Treasury Secretary Yellen says oil prices could rise in winter

US Treasury Secretary Janet Yellen said on Sunday that Americans could experience a spike in gas prices during the winter months if the European Union significantly reduces its purchases of Russian oil, adding that the West's proposed price cap on Russian oil exports is designed to keep prices in check.

"That's a risk and we're working on a price ceiling to address that risk," US Treasury Secretary Yellen told CNN. Yellen said the possible price hike could occur because the EU "has largely stopped buying Russian oil" and imposed a ban on services that allow Russia to ship oil by tanker. The price ceiling scheme agreed by the G7 rich countries requires participating countries to refuse insurance, finance, brokerage, navigation and other services to oil cargoes priced above a yet-to-be-set ceiling price for crude oil and petroleum products. Yellen said the price ceiling is aimed at reducing the revenue Russia can use to fight in Ukraine and protecting Russian oil supplies to keep global prices low. Follow Global Economic Developments on Social Media! Click here to follow Ieconomy official Facebook account! Click here to follow Ieconomy official Instagram account! Click here to follow Ieconomy official Twitter account!