OPEC fights in order to prevent the drop in oil prices

Crude oil prices declines once more by an additional 5% on Monday to their lowest levels since the global recession in 2009, and this is comes after Kingdom of Saudi Arabia decided to not to cut production to prevent the continues decline in the constant price of the commodity a year ago. During the 16-month only the world oil prices fall from more than $ 110 a barrel to less than half that, and the oil industry in the United States and around the world suffers from  the worst crisis since the late nineties. 

On Monday, the American benchmark crude exceeded $ 38 a barrel, a price that makes the drilling and completion of wells a suicide industry for most of the oil fields across the country.Oil shares fell along with the rest of the stock market after prices fell the form. Kinder Morgan the famous pipeline company, stated on Friday it was reviewing its dividend. The Shares of independent oil companies such as Apache and ConocoPhillips declined by more than 3% on Monday.

Analysts say that there are many factors behind the decline in prices, including the increase in American and Iraqi oil production in the past few years, and the slowdown in demand from China. But it was the decision by the Organization of Petroleum Exporting Countries, led by Saudi Arabia and a few of its allies in the Persian Gulf, in November 2014 not to cut production in order to support prices, as it was in the past, that led to the collapse of prices.