From above $135 a barrel last May 22, oil prices have sharply slid back to $127 a barrel as OPEC officials still claiming that there is no need to pump more oil in the world oil markets. Will the lowering oil price support OPEC's claim?
With global stock markets weak, some investors also see better potential for gains in the oil market. Speculative buying has been cited as a major reason behind oil's more than doubling its price in a year.
With global stock markets weak, some investors also see better potential for gains in the oil market. Speculative buying has been cited as a major reason behind oil's more than doubling its price in a year.
"As an asset class, oil has performed better than stocks and bonds. Money always looks for better returns," said Shum. "Until global equities turn better, oil demand collapses or supplies increase significantly we're not gong to see a substantial drop in oil prices."
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