Categories: Business

Oil price falls at four-year low

Brent crude oil price has fallen below $80 a barrel

Brent crude oil price has fallen at a four-year low, from $3.60 or 4.4% to $77.52.

The benchmark US crude oil price is also at a four-year low, after losing $2.57 to close at $74.28.

The price has fallen sharply since the summer and is 30% below its June price.

The drop comes as traders believe members of the OPEC oil exporting countries, which control about 40% of world oil exports, will not cut production.

Brent crude oil price has fallen below $80 a barrel

OPEC’s 12 member countries will meet later this month to discuss the global oil market.

Lower oil prices typically prompt OPEC nations, which include the biggest oil exporting nation in the world, Saudi Arabia, to rein back output in order to limit supply and boost prices and income.

Most need higher oil prices to fund rising government spending.

Recent comments by oil ministers from Saudi Arabia and Kuwait suggest the group is unlikely to agree to a cut.

The US energy department said this week that it expected low fuel prices to last into next year.

Clyde K. Valle

Clyde is a business graduate interested in writing about latest news in politics and business. He enjoys writing and is about to publish his first book. He’s a pet lover and likes to spend time with family. When the time allows he likes to go fishing waiting for the muse to come.