Why Oil Prices Have Fallen to a 3-Year Low

The video discusses the recent decline in oil prices, driven by increased US shale production and OPEC's decision not to cut production. It explores the impact of these factors on the global oil market, including the behavior of major oil producers like Saudi Arabia and Kuwait. The video also examines future oil price projections, considering the cost of shale production in the US and potential geopolitical events. Finally, it looks at the upcoming OPEC meeting and the differing positions of member countries on production cuts.

What is one of the main reasons for the recent decline in oil prices?

• Rising transportation costs

• OPEC's decision to cut production

• Decreased global demand

• Increased US shale production

How has OPEC's behavior changed in response to falling oil prices?

• They have stopped trading oil

• They have cut production

• They have maintained production levels

• They have increased production

What price range might cause a slowdown in US oil production?

• $80 to $90 per barrel

• $60 to $70 per barrel

• $50 to $60 per barrel

• $70 to $80 per barrel

What is a key factor in determining future oil prices?

• Global political stability

• OPEC's production target

• Cost of shale production in the US

• Weather conditions

What is the stance of smaller producers like Libya and Venezuela regarding OPEC's production strategy?

• They are indifferent to production changes

• They want to increase production

• They advocate for production cuts to boost prices

• They support maintaining current production levels