Crude oil prices have fallen over 30 per cent in six months. 12 member OPEC to seriously think about a production cut. Members of the Organization of the Petroleum Exporting Countries ,OPEC, which consumes nearly 40 per cent of global oil output, will meet tomorrow to workout future course of action.
The global economy is in the midst of a protracted slowdown.
Economic situation with China cutting interest rates recently, indicating slowing growth, Japan’s economy slipped into recession into third quarter and India’s economic growth probably around 5 per cent in the three months to September, from 5.7 percent of the previous quarter.
US fuel imports are likely to be just 21 percent of domestic demand by late 2015, the news agency estimated.
India will be a big beneficiary if Brent crude prices indeed drop to $60 per barrel, if the rupee continues to trade around 58-62 range against the US dollar.