Oil drops amid concern Iraq will comply with output target

Oil dropped the most in more than five weeks in New York amid concern about Iraqi compliance with OPEC production cuts.

West Texas Intermediate futures fell 3.8 per cent. Iraq's oil exports from its southern ports in the Gulf reached a record high in December, Oil Minister Jabbar Al-Luaibi said in an emailed statement. Gulf oil producers Saudi Arabia, the United Arab Emirates, Qatar, Oman and Kuwait are implementing the promised cuts, Nawal Al-Fezaia, Kuwait's OPEC governor, said in an interview overnight in Kuwait City.

Bloomberg