(MENAFN- ProactiveInvestors - N.America)
Turbulence in oil markets continues unabated as OPEC - the exporter cartel - weighed in again with comments which affected sentiment.
After gaining at the tail end of last week as global shares also recovered the price of the black stuff went into reverse today on oversupply pressures yet again.
The price of Brent crude futures the UK benchmark for March delivery was down 23% to US$31.46 a barrel while the US benchmark WTI (West Texas Intermediate) was down 2.909% at US$3.28 per barrel.
OPEC - the group of petroleum exporting countries - has called for countries outside the cartel which produce oil to co-operate to help the glut problem and make prices rise again.
"It is vital the market addresses the issue of the stock overhang.
"As you can see from previous cycles once this overhang starts falling then prices start to rise" the head of the cartel - Abdalla el Badri - was quoted as saying at a conference in London by the BBC.
Astonishingly perhaps there is now 260mln barrels of extra supply in the world at the end of last year up from a negative 85 million in 2013.
The talk has recently centred on how OPEC can help ease the problem and cut production but this is anew take from the group. In addition it is not clear whether an OPEC cut would keep prices up long term.
The wait and see approach appears to have become uncomfortable for many producers and downright unacceptable to others.
Venezuela has insisted on an extraordinary OPEC meeting but one has to wonder what it might achieve.
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