The price of oil stands at just above $50 a barrel as Opec has warned that demand will drop further due to a worldwide decline in retail sales.

Opec have predicted that demand will drop by 1.3m barrels per day this year - greater than the 1m barrels per day originally forecast - to average 84m.

"In the coming months, the market is expected to remain under pressure from uncertainties in the economic outlook, demand deterioration and the substantial overhang in supply," said Opec.

Oil prices have slumped since hitting a record high of more than $147 a barrel in July last year.