US oil prices have increased due to the country’s summer driving season beginning, signalling high demand.
Brent crude oil futures fell 18 cents to $49.58 a barrel, while the US West Texas Intermediate (WTI) crude oil futures rose 25 cents and were trading at $49.58 per barrel, Reuters reported.
ANZ bank told the news agency: "Investor positioning points to further support for commodity prices as bearish bets continue to be reduced."
Following the start of the driving season, demand in North America is steadily rising.
Data released by research company IIR highlighted that the spike is also in rising refining availability in the country, which is expected to increase by 354,00bpd in the week ending 3 June.
However, an increase in Middle Eastern crude exports has led to a fall in oil markets globally.
Industry sources said that Iraq is set to supply five million barrels of additional crude to its partners in June this year. The country has already been targeting high crude export volumes of 3.47 million barrels per day from southern terminals next month.
Saudi Arabia is also planning to increase supplies in the third quarter of this year to gain a market share in Asia.