Opec finds no quick end to its conundrum

OPEC, the oil producers' group, must be puzzling over how to crack the current supply conundrum. Their five-month-old market share strategy has not yet humbled the upstart American shale oil producers.

The world still has more than enough supplies. And prices seem to have settled into a durable range, without ever collapsing to US$20 a barrel as the doomsday forecasters held or not even hitting the bottom reached in the wake of the financial crisis seven years ago.

The benchmark Brent has swung in a US$43-70 per barrel range since the recovery began in January from a 60 per cent fall over six months. Recently, the benchmark nudged the November level when the Organization of the Petroleum Exporting...


BT is now on Telegram!

For daily updates on weekdays and specially selected content for the weekend. Subscribe to