Oil prices weighed down as U.S. inventory gains revive glut worries

SINGAPORE - Oil markets were enduring to bring down on Wednesday after a report of rising U.S. fuel and unrefined inventories underscored worries that a three-year supply overabundance is a long way from over.Brent rough fates <LCOc1> were at $46.67 per barrel at 0329 GMT, near their last close. 

U.S. West Texas Intermediate (WTI) rough prospects <CLc1> were down 8 pennies, or 0.2 percent, at $44.16 per barrel. 

Oil had recouped some ground over the previous week in the wake of falling almost 20 percent since mid-May, however a report by the American Petroleum Institute (API) demonstrated that U.S. unrefined inventories ascended by 851,000 barrels in the week to June 23 to 509.5 million, contrasted and experts' desires for a reduction of 2.6 million barrels. 

Fuel stocks ascended by 1.4 million barrels despite the fact that the U.S. summer driving season started half a month back. [API/S] 

The U.S. stock additions demonstrate worldwide supplies are as yet plentiful regardless of the exertion by the Organization of the Petroleum Exporting Countries (OPEC) to cut yield by 1.8 million barrels for every day (bpd) between January 2017 and March 2018. 

Ian Taylor, leader of the world's biggest autonomous oil merchant Vitol, says Brent unrefined costs will remain in a scope of $40-$55 a barrel for the following couple of quarters as higher U.S. generation moderates a rebalancing of the market. 

"Everyone was situated for a market rebalancing and a stocks attract to happen the second quarter. Also, on the off chance that you take a gander at the large scale investigation, that should begin happening," Taylor said in a meeting with Reuters. 

"In any case, so far it hasn't happened and everybody has committed a similar error. No one has separated themselves," he said. 

A few investigators said that rough costs had likely bottomed out and would rise. 

"We trust that the selloff in unrefined is overcompensated ... Brent is prepared for a recuperation," BMI Research said. 

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