The price of oil has fallen below $50 USD a barrel to $49.99 which is the lowest since May 2005.  The price hovered around $150 for most of the summer.

US crude fell $3.63 to $49.99 a barrel while the price of London Brent declined to $48.45 — its lowest level since May 2005 and 67 per cent below the all-time record of $147.27 a barrel reached in July.

Last month, Opec, the cartel of oil producing nations responsible for 40 per cent of global output, cut supplies by 1.5 million barrels a day to support the price of crude.

However, prices have continued to fall and while Opec is unlikely to reduce supplies when it meets at the end of this month, it is likely output will be reduced when the cartel convenes in Algeria in December.

With OPEC likely to reduce production the price will rise again. We must continue to drill here in the States to find oil as well as find other alternative means of fueling our vehicles.  The sooner we can ween ourselves off of Middle Eastern oil the sooner we will can stop worrying about policy in the Middle East as much.