OPEC sits on its hands as oil prices near $40 a barrel

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A renewed fall in oil prices is good news for the balance sheets of shipping companies and airlines, but a plunge in the value of the black stuff is a serious problem for the economies of oil producing economies and ultimately their consumers who will no longer be able to afford non-essential imports.

In this update from Ship&Bunker it seems that OPEC is still unwilling to cut production to ease the glut of oil that is driving down prices of the commodity. The news service quotes one OPEC delegate who optimistically said: “Oil prices will remain volatile…but they will recover.”