Discontent with OPEC growing
Oman's oil minister went on a rant about oversupply in the market and blamed OPEC in comments on Marketwatch today.
Oman isn't an OPEC member but believes it's was "irresponsible" OPEC to continue pumping.
"This is a commodity that if you have one million barrels a day extra in the market, you just destroy the market," said Mohammed Bin Hamad Al Rumhy. "We are hurting, we are feeling the pain and we're taking it like a God-driven crisis. Sorry I don't buy this, I think we've created it ourselves."
I don't see any way out of the current standoff. The top OPEC producers firmly believe that if they cut production, it will simply be filled by more US shale supply. They also believe that the end of oil is getting closer and that they're better to sell it at any price now than have it in the ground in 50 years.
WTI crude prices rose to $45.12 earlier but are now trading at $44.17, down 11-cents on the day.
