The group of countries operating under the OPEC banner have agreed during the summer to increase oil production in a bid to placate allies in the western world who have been seeking some relief from high oil prices.
The Organisation managed to come up with the smallest increase in production in its history. Oil prices fell substantially below the $100 per barrel mark for the first time in over a year, hitting a low near $93 in the first week of August.
News of recessionary trends in the global economy probably accounted for most of the drop in price as demand will weaken in a global recession.
However most analysts still see the near future as ripe for higher oil prices due to the global security situation, exacerbated as it is by geopolitical instability and rising tensions in the East alongside the on-going conflict between Russia and Ukraine.
