Crude oil declined to its lowest level in almost two weeks in New York as Libya restarted a crude pipeline halted by a fire and the U.S. idled fewer drilling rigs than in previous weeks.
With supply continuing to soar and demand down the tubes, an oil confrontation between U.S. producers outside OPEC seems inevitable. If production won't be cut, something else has to give.
Crude's slump looked to be on the upswing, but Ian Taylor, CEO of Vitol Group, disagrees. As inventory continues to climb, prices are going to keep falling--and there's not much we can do about it.
The Organization of Petroleum Exporting Countries said it expects weaker demand for its crude this year and predicted that slumping prices will curb growth in U.S. supply.
Oil advanced for the first time in three days amid speculation that an escalating conflict in Libya may pare a global surplus that’s driven crude into a bear market.
The 20 analysts surveyed this week by Bloomberg are perfectly divided, with half forecasting OPEC will cut supply on Nov. 27 in Vienna to stem a plunge in prices while the other half expect no change.
Brent headed for a seventh weekly drop, the longest declining streak since November 2001, as OPEC predicted it will need to supply less crude amid the U.S. shale boom.
