Dollar-denominated oil prices have fallen by $40/B since June. For many producing and consuming countries this has been at least partly balanced by the strengthening of the dollar against the bulk of other world currencies. MEES examines the implications.
An oil supply glut and weaker than expected demand have contributed significantly to a precipitous decline in oil prices since mid-year. Whichever way you look at it, key oil exporters, including those in the Middle East and North Africa, have seen a sharp fall in their revenue since prices hit their peak in mid-June. The OPEC basket then briefly topped $110/B; since OPEC decided against cutting output on 28 November its value has fallen below $70/B. (CONTINUED - 1519 WORDS)