Oil prices have remained steady as crude inventories in the US dropped, according to Reuters.
Members of the Organization of the Petroleum Exporting Countries (OPEC) are reportedly set to meet next week to discuss the situation.
Brent crude futures were trading at $49.68 per barrel falling $0.02 from the last close, while the US West Texas Intermediate (WTI) crude futures slipped $0.03 to $47.09 a barrel, reported Reuters.
The market still remained bloated due to high production from the OPEC, despite the ongoing production-cut deal to reduce output by 1.8 million barrels per day (bpd) by March 2018.
According to the latest data published by Energy Information Administration, US crude inventories decreased by 4.7 million barrels to the week ending 14 July, significantly more than the expected decline of 3.2 million barrels.
However, crude stockpiles are more than 490 million barrels against an average of about 401 million barrels over the past five years.
Increasing US output, as well as rising production from some members of the oil cartel, restricted the price level to below $50 per barrel.
Next Monday, OPEC member countries and other nations that participated in the oil curb deal are set to meet in Russia to assess the current market situation.
The curb in oil production was ineffective to rebalance the market due to lack of compliance and increasing output in the US, which is currently producing nearly 9.4 million bpd.