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At this time Israel was having problems fighting Egypt in the Yom Kippur War. Not long after the start of the war, OPEC announced that they would be inflicting an oil embargo on any country that was aiding Israel in the conflict. Among the few countries that were effected, the United States suffered greatly.
The impact of the embargo was drastic and had an immediate effect on the economy. In the United States, the retail price of a gallon of gasoline rose from a national average of 38.5 cents in May of 1973 to 55.1 cents in June of 1974. Meanwhile, The New York Stock Exchange shares lost $97 billion dollars in value in six weeks...
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