Crude oil price flies to $50 per barrel

A general view of the beginning of a meeting of the Organization of the Petroleum Exporting Countries (OPEC) in Vienna, Austria, November 30, 2016. REUTERS

The Organisation of the Petroleum Exporting Countries (OPEC) has reportedly agreed to cut oil production for the first time since 2008 thus making the price of the product to skyrocket in the afternoon of Wednesday, November 30.

Reuters reports a source at the global organisation as revealing the news adding that the agreement was
in line with an accord reached in Algiers in September.

The report said OPEC was proposing to set a new production ceiling at 32.5 million barrels per day from the current levels of 33.6 million.

Oil price goes up following a cut in production

Bloomberg also reports that the price of oil jumped 7.6 percent to $49.90 a barrel in London as 1:23 pm local time.

Nigeria's minister of state of Petroleum, Ibe Kachikwu, had hours ago, reportedly expressed fears of a crash in the price of oil.