Who determines the price of oil today?

Answer by  nate20 (30)

Like any other commodity oil prices vary based on many factors. The primary factor is supply and demand, this is simply based on what people are willing to pay. Another factor is political stability in the nations the supply the oil. Prices are mostly set by supplier nations most notably the OPEC group of nations which are the primary suppliers.

Answer by  ramy97 (17)

Traders on the New York Mercantile Exchange buy and sell futures contracts based on the current macro-economic and geo-political events that are occuring globally. Oil futures are promises to provide a barrel of oil at at future date at a specified price. The price of oil changes on a nearly daily basis as oil trades 6 days a week.

Answer by  RobR (35)

It varies constantly. It is, like most resource stocks all dependent on supply and demand. US citizens consume millions of drums of oil each day. Situations in oil rich locations such as wars and trade agreements cause a fluctuation in the prices per drum of oil. AS people become more green perhaps oil demand will lower.

Answer by  Mackrel (64)

The price of oil is heavily determined by commodities futures traders, who buy and sell contracts for the purchase of oil at a set price on a set date. As such, the price is constantly changing, although it usually moves within a narrow range barring structural changes in the market.