Oil prices closed near seven-year lows Monday after the decision of the Organization of the Petroleum Exporting Countries (OPEC) last Friday to keep crude production pumping at current level in an already oversupplied market.
The 13-member OPEC said in a meeting on Friday that it will not cut production, now accounting for around 40 percent of the global crude output. Meanwhile, the organization did not set a new production ceiling on Friday.
The statement released Friday said that the group will "closely monitor market developments in the coming months." Bijan Namdar Zanganeh, Iran Oil Minister Friday described OPEC' s output decision like "everyone does whatever they want."
The group currently produced about 31.5 million barrels a day, exceeding the 30 million barrels per day ceiling set on June's meeting. Traders worried the prolonged supply glut would continue to drag the oil market down.
The West Texas Intermediate for January delivery moved down 2. 32 U.S. dollars to settle at 37.65 dollars a barrel on the New York Mercantile Exchange, while Brent crude for January delivery decreased 2.27 dollars to close at 40.73 dollars a barrel on the London ICE Futures Exchange.
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