Could 100-dollar oil become a new OPEC price floor?

VIENNA (AFP) – With the oil market falling rapidly, questions have been raised at a gathering of OPEC producers in Vienna this week about whether 100-dollar oil should be a minimum price to defend, analysts say.

For the past five years, crude prices have been on a steep upwards path, peaking in July at 147 dollars a barrel amid widespread concern among consumer and producer countries about the impact on economic growth.


But the dizzying run-up has been followed by an equally steep fall, with prices now around 110 dollars, leading OPEC members to consider the desired price for their vital exports.

Iran and Venezuela, two traditional prices hawks, have made it clear they regard 100 dollars as a level to protect — something that was considered dangerously high by observers at the beginning of the year.

AFP