NYMEX and Brent weaken in Asia
On Tuesday, oil prices dropped further with industry supply estimates from America expected to set the tone.
US crude sank 0.82% to $45.91 per barrel in New York. The American Petroleum Institute is expected to issue its estimates of crude as well as refined product stock at the end of last week in data that is going to be closely followed, considering a massive draw of more than 12 million barrels. Market participants attributed the dip to cargoes held offshore as hurricane weather hampered shipping.
On Wednesday, the figures are going to be followed by official data from the US Department of Energy after it reported a massive draw the previous week.
Global benchmark Brent edged down 0.72% to $47.97 per barrel.
Overnight, crude prices extended their losses after the Organization of the Petroleum Exporting Countries dared to revise up its crude output forecast from non-member countries for next year.
In its monthly report, OPEC warned that crude markets are going to remain heavily oversupplied in 2017 because new fields come online, while American shale drillers remain quite resilient in the face of cheap crude.