SINGAPORE (AP) - Oil prices rose above $45 a barrel Wednesday in
Asia as investors waited to see how big a production cut OPEC will
announce at a meeting later today in Algeria.
The contract fell 91 cents yesterday to settle at $43.60 despite
signs the Organization of Petroleum Exporting Countries planned to
announce a significant reduction.
OPEC estimates daily demand for its crude oil has fallen by
700,000 barrels this year. The cartel also predicts demand will
drop by at least twice that amount in 2009, with the worsening
global economy "expected to have a strong impact on oil demand."
OPEC has been hinting it may have to "shock" markets to
stabilize prices. Saudi Arabia says oil production will be cut by 2
million barrels per day to stem declining crude prices.