There is prediction that by the end of the second-quarter of 2015 prices of crude oil could trade between $35 to $ 40 a barrel. Brent was trading $54.42 a barrel on 23 March, which is lower by 1.63%. US crude was trading by $45.59 a barrel, which is lower by 2.10%, Ibtimes reports.
The prices in the oil market can drop by $5 in case US and
The low prices can have a huge negative impact on poor OPEC members such as
In case
Surplus will be recorded in the market , the prices will go down, the only way to survive is either to cut the production level or make a cartel between the producers, where they will discuss the prices and the quantity of production. A new deal has to be made by the market members otherwise the only survivor will be OPEC. In a long-term perspective, there are many possibilities for OPEC to be an oligopoly in the oil market.