OPEC frets over dollar’s fall

ABU DHABI/VIENNA (Reuters) –
OPEC is worried by a fall in the dollar that is eroding member states’ oil revenue and ministers will take up the issue when they meet next week to discuss a further cut in output.

The dollar is at a 20-month low against the euro — a bonus for non-dollar oil consumers but a threat to producers.

Most OPEC ministers are leaning toward cutting production beyond the 1.2 million barrels per day they agreed in October to prevent a supply glut. A weak dollar provides another argument for trimming production and supporting prices.

“The dollar is not helping (matters). It affects revenue. If there is a significant drop, it is of concern to us,” United Arab Emirates’ Oil Minister Mohammed al-Hamli told Reuters.

Reuters