Price of oil reaches three-year low

Continued oversupply from Organization of the Petroleum Exporting Countries (OPEC) led to the continued drop in the price of oil in trading on Monday, according to a report by Reuters. The price of Brent crude oil fell by almost 1 percent, to $44.32 per barrel during morning trading. OPEC had planned to reduce or freeze output, but now analysts say that they doubt the group’s ability to do so. “OPEC knows what needs to be done, but too few members will agree to take the production pain for the price gain, knowing that the price gain incentivizes non-OPEC countries to produce more,” oil industry analyst David Hutton said. The organization, which reported last week that its production output had reached a record 33.64 million barrels per day during October, will meet on November 30. Saudi Arabia’s Energy Minister Khalid al-Falih has said it was imperative for OPEC to reach a consensus on activating a deal made in September to cut production.