The Secretary General of the OPEC says the OPEC’s decision to leave their oil production volume unchanged is not aimed at hurting any particular country, including Russia and Iran. This is what Market Leader reports.
In particular, the OPEC conducted another summit in Vienna on November, 27th. After prolonged discussions, the members decided to abstain from cutting down on their oil production, thereby leaving the total daily production volume at 30 million barrels, Masterforex-V Academy reports.
Still, the Secretary General also sys that the OPEC’s decision wasn’t meant to result in such a dramatic outcome (the one we can see now in the international market of crude oil). There are rumors that the OPEC makes decisions in favor of the USA and shale oil production. But the OPEC members respond that these rumors has nothing to do with reality.
At the same time, the oil-producing nations of the Middle East are determined to keep on investing in oil production since the USA will remain dependent on the Middle Eastern oil for years to come.
Masteforex-V Academy reminds you that despite all the statements made by the SG of the OPEC, oil prices went sharply down almost instantly after the OPEC’s decision was revealed. It is reported that the OPEC will have to gather an emergency summit only in 3 months after the price is down to $40/b.
All in all, the OPEC is a union of oil exporters embracing 12 members - 8 Middle Eastern and North African countries as well as Nigeria, Angola, Ecuador and Venezuela . Before dropping some 40% this year, oil prices used to be relatively stable for 5 years. Experts say, that the price decline accelerated after the 166th OPEC summit. At this point, the biggest losers suffering from the oil price collapse are Russia, Nigeria, Iran and Venezuela .
While, the situation is the oil market getting more uncertain and unstable, oil futures keep on setting new record lows. For instance, Brent oil futures reached the lowest level since July 2009. At the same time, most analysts assume that the current collapse of the Russian Ruble is a direct consequence of ultraslow oil prices. The January Brent and WTI futures dropped down in price to $62,93/b and $58,86/b respectively.
