On Wednesday, oil prices inched higher during European hours, after declining suddenly as market participants anticipated new weekly information on U.S. stockpiles of crude and refined products.
The U.S. Energy information Administration will post its weekly report on oil supplies at 10:30AM ET during analyst anticipations for a surge of 3.8 million barrels.
Gasoline inventories are anticipated to increase by 343,000 barrels while stocks of distillates, which consist of heating oil and diesel, are predicted to increase by 1.543 million barrels.
After the market closed on Tuesday, the American Petroleum Institute stated that the U.S. oil inventories surge by 1.4 million barrels in the week ended September 9, 2016
The American Petroleum Institute (API) report also displays a drop of 2.4 million barrels in gasoline stocks, although distillates showed an increase of 5.3 million barrels on the week.
Delivery of Crude oil for October on the New York Mercantile Exchange add on 38 cents, or 0.85 percent, at $45.28 a barrel by 4:14AM ET (08:14GMT).
On Tuesday, New York traded oil futures dropped $1.39, or 3 percent, after the International Energy Agency advised in its latest monthly report that the oil market will stay oversupplied at least through the first half of the year 2017 due to the decline in demand growth and increasing global supplies.
Temporarily, on the ICE Futures Exchange in London, delivery of Brent oil for November edge up 34 cents, or 0.72%, to trade at $47.44 a barrel. A day before, London-traded Brent futures sank $1.22, or 2.52 percent.
Oil traders continued to influence forecasts that major oil producing nations will freeze production to support the market when they meet later this month.
The Organization of the Petroleum Exporting Countries, led by Saudi Arabia and other big Middle East crude exporters, will meet non-OPEC producers led by Russia at informal talks in Algeria between September 26 and 28.
According to market experts, the possibilities that the approaching meeting would yield any action to lessen the global surplus looked minimal. Instead, most consider that oil producers will remain to observe the market and perhaps postpone freeze talks to the OPEC officials meeting in Vienna on November 30.
An effort to jointly freeze production levels earlier this year was unsuccessful after Saudi Arabia backed out over Iran’s rejection to participate of the initiative, emphasizing the difficulty for political rivals to forge consensus.
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