The sharp slides in oil prices seen since the summer could continue unabated until the commodity's chief trade body OPEC (Organization of the Petroleum Exporting Countries) is finally forced to take action, investors have said.
The last quarter has seen oil prices tumble, with Brent crude falling from $113.6 per barrel at its peak in July, to less than $80 last week. The dive was exacerbated by an acceleration in production of alternative energy, including shale in the US, which forced the International Energy Agency to cut oil demand forecasts earlier this month. Global growth worries and the slowdown in China have also had an impact on prices. The fall of 30% in the price of crude has left it at its lowest level since 2010, but investors said there is still plenty more risk to the downside. John Ventre,...
To continue reading this article...
Join Investment Week for free
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes