OPEC is stuck between lots of oil and a hard place
The Organization of the Petroleum Exporting Countries is meeting Thursday, and with oil prices at a four-year low the group is at a crossroads.
Marketplace sustainability reporter Scott Tong says OPEC is facing a changed oil industry and a tough choice. They could cut production and sacrifice market share to other producers, namely the U.S., or they could stay the course and let prices keep falling.
There’s no easy answer, and Tong says the cartel could be in for gridlock not unlike what we’ve seen in Washington. That’s good for oil producers in the U.S. right now, but if prices get too low it could spell trouble for the fracking boom here.
Listen to David Gura’s full conversation with Tong in the audio player above. Below, you can hear Gura’s interview with Jamie Webster, who’s in Vienna for Thursday’s meeting.
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