Oil prices remain well supported this morning ahead of an OPEC meeting this week at which the cartel is expected to cut output. OPEC leaders will meet in Vienna on Thursday for the emergency meeting after crude oil dropped by almost 30pc since the war in Iraq began. Oil prices had soared in the weeks leading up to the US-led invasion of the Gulf State but soon fell back as the war ended sooner than expected. The cartel pumped more than 1.5 million barrels per day over its self-imposed 24.5 million barrel production quota in March, as it raised output to counter the loss of Iraqi exports.
In London this morning, crude oil rose 10c to USD25.95 per barrel, while NYMEX oil was up 21c to USD28.62. Oil had dipped slightly over the weekend on speculation that OPEC would not cut output by as much as previously expected, but the downside was limited. Iran's oil minister Bijan Zanganeh said overnight that the cartel should work to keep prices within the agreed USD22-28 range and he said that the "quota busters" should be the first to restrain output. ///www.fxcentre.com