Countries that are part of OPEC, the intergovernmental organization that oversees global oil markets, are cutting their output as oil demand has slowed due to higher energy prices amid the Iran war.

The slowed demand, in turn, led OPEC to cut its forecast for oil demand growth for the year. In its latest monthly update on Wednesday, the group of petroleum-exporting countries lowered its 2026 forecast from 1.38 million barrels per day to 1.17 million barrels per day.