Skip to: Content
Skip to: Site Navigation
Skip to: Search

December 2, 2008 8:30:22 PM CST



OPEC Cuts Oil Production

Posted Sep 10, 08 2:23 AM CDT in World Business 

(Newser) – The international oil cartel OPEC announced today it's reducing production by more than half a million barrels a day, the Financial Times reports. The decision by the cartel, which controls 40% of world oil production, stunned most analysts. The move comes as oil prices, after spiking to an all-time high in July, have dropped 30%, bringing relief to many world economies.

Prices have dipped significantly in recent weeks driven by lower demand, increased supply and a stronger US dollar, said an OPEC statement. “All indicates a shift in market sentiment causing downside risks to the global oil market outlook,” the statement added. OPEC now faces the difficult task of ensuring members abide by its decision. A significant portion of the reduction will have to come from Saudi Arabia, which boosted production unilaterally this summer when prices were high.

Source Financial Times (UK)

0 comments | Print E-mail | Digg Seed this on Newsvine Add this link to Del.icio.us StumbleUpon
An oil worker climbs the steps of a new oil rig being drilled in the Sakhir, Bahrain, desert during sunset . OPEC is cutting production to halt a drop in oil prices.   (AP Photo)
Ministers of the Organization of the Petroleum Exporting countries gather at the OPEC's headquarters in Vienna, Austria.   (AP Photo/Ronald Zak)
Oil workers at the Khurais oil facility in an area 60 miles southeast of Riyadh, Saudi Arabia. OPEC is cutting production to halt a price slide.   (AP Photo/Hasan Jamali)
« Prev« Prev | Next »Next » Slideshow
Our editors also recommend:

Threads (
1
 of 4)



Loading...

Premium Articles from HighBeam

Find more articles like this

Today's Most Popular

Loading...

Other Business Stories


What is Newser?

2008 Codie Finalist

Face it: there's too much news. At Newser a team of editors and writers culls the most important stories from hundreds of U.S. and international sources and reduces them to a headline, picture, and two paragraphs. It's the Newser guarantee: we can take any report or column or video and pack what you need to know into 120 words or less. Newser's short-form aggregation, visual format, and unique information tools help you get more of the kind of news you want, in a quicker and more entertaining way. And we do it 24/7—you can come back morning, noon, night (and in between) for something new that matters. Read less, know more.

Learn more »