Senator Tom Cotton blasts BlackRock for creating a ‘climate cartel’

BlackRock Inc (NYSE: BLK) is in focus on Thursday after Senator Tom Cotton blasted the world’s largest asset manager for creating a “climate cartel”.

Highlights from Sen Cotton’s interview on CNBC

“Pain at the pump” have been the front and centre of most financial debates in recent weeks and BlackRock, as per Sen. Cotton, is contributing to it. This morning on CNBC’s “Squawk Box”, he said:

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What BlackRock has done in part through collusion with this climate action partnership is create a climate cartel. They’re trying to suppress investment in the fossil fuel industry in America. This is contributing to $5.0 a gallon gas.

Part of the reason why oil and gas giants are not producing more, which could potentially lower the prices, he added, is because this “climate cartel” continues to take aim at the conventional energy companies.

Sen. Cotton warns against joining the ‘climate cartel’

Oil, though, has now slid back meaningfully below $100 a barrel that signals inflation might be starting to cool off.

Still, the U.S. Senator for Arkansas warned executives and investors against engaging with Climate Action 100+, which, he said, will come under scrutiny once Republicans are back in power.

If you’re thinking about joining this climate cartel, you better think again and lawyer up. When Republicans take charge in November, I’ll make sure the Congress is investigating these matters.

His remarks arrive only a day before BlackRock is scheduled to report its quarterly financial results. The stock is down over 35% year-to-date.