Oil dips

Reuters

Singapore

Oil dipped on Tuesday on lingering concerns over global fuel oversupply due to rising U.S. output and doubts that OPEC and other producers would adhere to commitments to cut output in an effort to balance markets and prop up prices.

Brent crude futures, the international benchmark for oil prices, were at $55.55 per barrel at 0643 GMT, down 31 cents from their last close.

U.S. West Texas Intermediate (WTI) crude futures were down 7 cents at $52.30 per barrel.

"The Asian market is focused on the build in U.S. production which is nearly up to 9 million barrels per day (bpd) - up from 8.5 million bpd last June and close to 2014 production levels," said Michael McCarthy, chief market strategist at Sydney´s CMC Markets.

"With U.S. crude clearly above $50 a barrel, we are getting a supply-side response which is pushing production higher," he said.