Oil prices have fallen for the fifth day in a row due to global oversupply concerns, despite an unexpected drop in US crude stocks combined with a weaker dollar.

Front-month Brent futures fell 42 cents at $52.88 a barrel, while the US crude for September delivery last traded at $47.65 a barrel, a 33 cents dip, Reuters reported.

According to a survey by Reuters, the Organization of the Petroleum Exporting Countries (OPEC) members produced around three million barrels per day (bpd) of oil more than daily demand in the second quarter.

"If you look at inventories, there’s been a pretty big build and also a build in gasoline stockpiles that is going to add a bit of pressure today."

Petromatrix Switzerland oil analyst Olivier Jakob told the news agency: "If you look at (inventories), there’s been a pretty big build and also a build in gasoline (stockpiles) that is going to add a bit of pressure today."

However, oil prices gained some support after data from the American Petroleum Institute (API) highlighted a fall in US commercial crude stocks by 1.9 million barrels last week, recovering some losses.

Despite fall in inventory, oversupply concerns remain as API report revealed that crude inventory level was 462 million barrels, compared with 383 million at the beginning of 2015.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Investors are anticipating data to be released by the government’s Energy Information Administration on US oil inventory.