OPEC May Cut Production in December
Posted on 03. Dec, 2008 by admin in Crude Oil, Forex News
The price of Crude Oil fell a small amount during yesterday’s trading session and closed just under $48.00 a barrel. Oil suffered a sharp drop in price during the last several months. It went down almost $100 from the record high seen in mid-July as the growing global economic crisis lowered demand in the United States and other large consuming nations.
OPEC is concerned about over-supply and may decide to cut output further at its Dec. 17 meeting in Algeria. If OPEC decides to lower production, it may restore equilibrium in the markets and the balance of prices. The last time OPEC lowered its production was in December 2006. The cuts were reversed later in 2007 as Oil prices rose.
