The Organization of the Petroleum Exporting Countries will leave oil output unchanged, a delegate at the group's current meeting told Reuters. Oil ministers apparently are not worried the weak dollar will drive up the price of crude far enough that it will crimp the global economic recovery.

There was consensus among members of OPEC to keep the current quotas intact. OPEC's president, Ecuador, and its top exporter, Saudi Arabia, said they were happy with the current situation, and with oil prices at $70 to $80 a barrel. While delegates voiced concerns about a possible double-dip recession, none agreed to discuss what price level for oil they think would start to dent the fragile economic recovery.

Oil prices, which have remained around the $70 to $80 range for much of this year, rallied recently because of the weakening of the dollar. This month, crude prices reached a five-month high at more than $84 a barrel.

On Thursday, the dollar fell to a 15-year low against the yen and to its weakest level against the euro since January on speculation that the Federal Reserve will ease monetary policy. But oil prices are also affected by supply-and-demand forces, and record-high fuel inventories combined with sluggish demand have somewhat offset the dollar's weakness so far.

Increase your money and finance knowledge from home

Introduction to Preferred Shares

Learn the difference between preferred and common shares.

View Course »

Investing in Emerging Markets

Learn to invest in a globalized world.

View Course »

Add a Comment

*0 / 3000 Character Maximum


Filter by:

Let see overflowing oil supplies on the land and sea. No where to put the product ( maybe outer space is next ) and OPEC is keeping output the same. American consumers cutting back more and more everyday but still oil and gas prices are rising. It seems there should be some kind of probe into this phenomenon......

October 15 2010 at 7:13 AM Report abuse +1 rate up rate down Reply

Fireboy is exactly correct !!!!

October 14 2010 at 10:49 AM Report abuse rate up rate down Reply