Well, OPEC has cut back on oil production again. Today the Organization of Petroleum Exporting Countries (OPEC) cut production of oil by 2.2 million barrels. This is their largest cut ever! Since the market turmoil started and oil prices started plunging, OPEC has cut over 4.2 million barrels.
Even with the production cut, oil prices fell about 5%. Oil has fell about 72% since its peak a few months ago. With the prices still falling, I would say the markets think there is much more trouble ahead. I imagine people will still be spending less and buying less energy products such as oil and gas.
Oil prices were at this level a few years ago and OPEC was doing just fine. Now that they have a taste of those crazy prices that we were paying a few years ago, they want them back. I think we need to do something about these greedy countries. Wether it’s alternative energy or using our own resourses, something needs to be done. I am tired of giving my hard earned money to countries overseas. Do you agree?
photo by: swisscan