Oil prices pressured by global oversupply have continued to fall, but losses were restricted on hopes that oil producers will agree to extend production cuts.
Brent crude slipped by 30 cents to $51.52 a barrel, while the US light crude declined by 35 cents to reach $49.27, reported Reuters.
Traders reported that all major oil markets worldwide continue to remain bloated despite the ongoing efforts by the Organization of the Petroleum Exporting Countries (OPEC) to restore oil price by reducing production by 1.8 million barrels per day (bpd) for the first half of the year.
The cartel is currently discussing the feasibility to extend its cuts into the second half of this year.
US inventory data previously revealed a decline in crude oil stocks but petrol inventories continued to soar as refiners produced more fuel than the market demand.
US crude oil production also soared, which grew by nearly 10% since mid-2016 level to reach 9.27 million bpd.
PVM Oil Associates senior analyst Tamas Varga was quoted by the news agency as saying: “US commercial stocks increased by more than 6.5 million barrels last week.”
Rystad Energy reported that the US shale oil output is expected to grow by 100,000bpd each month this year and next.