Oil prices fall as doubts grow over OPEC production cut

Iran and Iraq both want to increase their output

Oil prices fall as doubts grow over OPEC production cut

Hasan Jamali / AP

Oil prices dipped again overnight as doubts over whether OPEC will cut oil production loomed.

International Brent crude oil futures had almost hit $50 yesterday as a deal to reduce output seemed likely.

Brent crude oil prices during the past three years

Iran is the main opponent to a cut production to reduce the international supply glut. Since it returned to the market following sanctions its production levels have been at record highs.

Iraq is also against cutting production ahead of next week's meeting.

Members have accepted that Iran's situation may warrant special treatment - and given its recent history of conflict Iraq is likely to also look for special terms.

OPEC leaders will debate a possible cut of between 4% and 4.5% when its leaders meet on November 30th. This would be its first cut in eight years. 

Between Iran and Iraq, the pair produce more than 8 million barrels of oil everyday - these states would like to increase their output.

The oil market could be further complicated when Donald Trump takes office in the US. He wants to reduce regulation surrounding oil production in the US - he has also said he will expand oil production on Federal land. This would bring more US oil to the market and push down prices.