helima, let's start with this.h russian oil and gas dwindling and more sanctions on the way, is the rise in prices, is it a necessary cost of the sanctions? well, i mean, ithink this is an interesting question about what is the cost that the west is willing to pay for supporting ukraine? now what is interesting is that the major sanctions on russian energy have not hit yet. those will be coming into effect in december. so the key question is really going to be, how much further do prices rise from here, when we start to see potentially significant russian export disruptions? on that point then, we know europe is banning russian oil delivered from the sea and some by pipeline. it's also going to ban insurance companies from ensuring shipments of russian oil anywhere on the planet. lordy, i mean, what is the potential impact of all of that? i mean, i think the insurance sanctions are far more significant than many market participants realise because if these sanctions remain in place, that will mean that it's going t

how much about oil is this meeting, helima?this energy crisis is the catalyst the administration is saying it is a reset it is about issues like yemen and iran and potential normalization of israel. they are taking a niflight from israel the issue is on energy i would think not just about additional barrels on the market, but they are going to need help come december when the european embargo of russian oil kicks in they need to have this game of musical barrels. it is trying to get a price cap plan worked to still send russian barrels to asia, but discounted middle eastern barrels going to europe they need barrels and barrels to move to europe to make the russian sanctions and price cap plan work. >> and that is so key. december 5th is the day the full sanctions kick in. this is going to be such a huge moment do the saudis in your analysis have the extra barrels to put on the market and if they do, can they do it under the current opec agreement >> the saudis are saying they can do 12 million barrels. that is in the perspectru

joining us now is helima croft retail gas prices, helima, fallen for 21 consecutive days it's not justpper prices are at 19-month lows talk to us about what's happening. these recession fears starting to overcome the tight supply which had been driving oil prices most of the year. >> this was a macro driven fall-off the entire complex was hit today except for european natural gas. clearly they are pricing in concerns about recession, about demand destruction we are seeing consumers starting to change behaviors, using public transportation more, driving to cheaper gas stations, putting off discretionary travel but we're not seeing a major hit to demand yet. the fundamental backdrop for oil remains strong but macro sell-off can be very brutal. >> has it made you change your minding about where prices are headed you've been pretty bullish on this idea that with russia out, it's going to be very tight supply and very high prices. >> i mean we haven't changed our fundamental story on the market. we look out for the back half of the year we do see a market with a shock absorber we'll look fo

ridiculous thank you, helima croft. >> thank you. >>> coming up, american airlines set to report.ff natural gas when you bomb schools and maternity wards? disappointing numbers from united we will have an interview with the ceo robert isom. "squawk box" will be right back. >> announcer: currency check is sponsored by interactive brokers. the professionals gateway to the world's markets. thanks for coming. now when it comes to a financial plan this broker is your man. let's open your binders to page 188... uh carl, are there different planning options in here? options? plans we can build on our own, or with help from a financial consultant? like schwab does. uhhh... could we adjust our plan... ...yeah, like if we buy a new house? mmmm... and our son just started working. oh! do you offer a complimentary retirement plan for him? as in free? just like schwab. schwab! look forward to planning with schwab. a jelly bean that's good for you? try nature's bounty jelly bean vitamins. good-for-you nutrients in a tastier-for-you form. more sweet dreams. more flavorful immune support. get mor

we will leave the pontificating about fist bumps to others, helima, unless you want to weigh in i wantget your sense of what it means for oil >> my expectation was no declared deliverable as we head into the august meeting, we will see additional supply in saudi arabia and uae and possibly kuwait. they will not dump 2 million barrels on the market or spare capacity they will add back barrels come the august meeting onwards >> we have been talking to you every week now for months. does this meeting change the dynamic in any material way? >> what this meeting means is that the u.s. and saudi relationship is now on sounder footing than it was months ago we will get oil support from saudi arabia we still have a big problem in the market as we head into year end. namely december 5th with the sanctions on russian energy. not that they will stop seaboard imports, insuring russian cargos and flagging ships. they need the saudi oil in volume, but going into europe come december onwards. >> helima, we will see if you are jay powell and things have gotten a little bit easier over the past week or