The price of crude oil has fallen roughly 60 percent since mid-2014, which has largely been put down to worries of a global glut of crude, coupled with dwindling consumption.
But after four years of Brent crude remaining relatively stable at $100 per barrel, changes in production and consumption “fall short of a fully satisfactory explanation” for the abrupt collapse in oil prices, a new report has found.
Instead, the Bank for International Standards (BIS) blames the decision taken by the Organization of the Petroleum Exporting Countries (OPEC) at a November meeting to focus on market share, rather than cutting output, for the collapse in the oil price.
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