By Jonathan Davies

After spending the second half of 2014 in utter turmoil, oil prices are showing signs of a recovery.

Brent crude reached $55 a barrel today (Monday). It's the first time prices have been that high for three weeks.

It's bad news for consumers hoping for petrol prices to fall below £1 a litre and for the wide variety of companies and industries that have reported lower costs and improved growth as a result of the fall in oil prices.

It followed figures which suggested that demand for the lease of oil rigs had dropped, indicating producers were preparing to cut production.

Oil prices have lost as much as 60% of their value since the summer of 2014 when a barrel of Brent crude oil cost roughly $115.

It comes following widespread acknowledgement that there is not enough demand to meet the supply. Despite the concerns of over-supply, Saudi Arabia, one of the world's biggest oil producers has remained adamant that it will not cut production.

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