NEW YORK (TheStreet) -- OPEC is scheduled to meet on Nov. 30 in Vienna to discuss a potential production freeze or cut, but Iraq wants no part of any such plan. Iraq wants to be exempt from a cut, the nation's Oil Minister Jabar Ali al-Luaibi said Sunday at a press conference.
The discord between OPEC nations could produce downside pressure on oil prices. WTI crude was trading slightly lower at $50.40 a barrel in early Monday morning trading.
"I suspect that this projected or proposed cut is already priced in, pretty much, in the marketplace. That's why I'm saying there's very limited upside. But the downside...is about $46 [a barrel] or so, almost 10% lower from where we are right now," Trading Advantage options instructor Scott Bauer said on BloombergTV's "Bloomberg Daybreak" Monday.
Iran would still encourage other OPEC members to join in a production freeze, deputy oil minister Amir Hossein Zamaninia said at an informal meeting of representatives from some OPEC member states in Vienna Monday. A production freeze could potentially send oil prices down to $42 a barrel, Bauer said, but he was skeptical of the possibility of such a slide.
"I don't think we get down there yet," Bauer said.