They're going to cut production? To stabilize price? %$#^ them. Where was the increase on the way up? Let them hedge like everyone else. If they don't like it, let them buy PUTS like us small people have to. Can't wait for them to be irrelevant. They can go back to trading CAMELS. &%$# them!
They tried everything they could to support prices long term after they broke it off in our azz in 1982, then ended up eating $10-15 oil for the next 18 years.
They bent us over for a few years this time around, and bent us over good. Result? Huge shifts in consumer behavior and application of both monetary and intellectual capital toward efficient vehicles and alternative energy. Once the motion is started and the capital is applied, you cannot reverse it as this capital will be amortized over 20+ years. There are going to be 70 mph vehicles rolling off the lines for a long time starting late 09 / early 10.
OPEC will probably be irrelevant sometime between 2012 and 2020...and stay that way for a long time.