Oil prices have fallen below $50 a barrel this morning ahead of the weekend's elections in Iraq and the upcoming OPEC meeting.
US light crude fell 23 cents to $48.58, at higher prices prompted by high demand caused by the cold snap in the United States - the biggest user of oil in the world.
With better weather on the way and an unpredictable outcome to the Iraqi elections - and the effect it may have on the OPEC countries - traders have become cautious.
Iraq's southern crude supplies have run relatively smoothly at about 1.5 million barrels per day (bpd) in the lead up to the elections, despite fears of new sabotage attacks.
The country's northern exports, halted for more than a month, are expected to resume flowing in about 10 days, barring more of the attacks that have plagued the line.
OPEC members looked to be moving toward a rollover in the cartel's output ceiling, as prices hovering near $50 make it unlikely the cartel will lower production despite fears of a potential oversupply in the second quarter.
OPEC production fell 800,000 bpd in January as producers implemented their agreed one million bpd cut, according to a preliminary estimate.