Global oil inventory levels reach record high

The level of excess oil has hit a record high, according to the International Energy Agency (IEA).

Inventory levels have surpassed three billion barrels, a report by the agency noted.

The increase is due to a sharp increase in production by both OPEC (Organisation of Petroleum Exporting Countries) and non-OPEC suppliers.

The report said: "Brimming crude oil sticks offer an unprecedented buffer against geopolitical shocks or unexpected supply disruptions."

However, with Saudi Arabia having the highest production surplus, the IEA said it was risky to rely too heavily on the Middle East as it battles against the so-called Islamic State.