Oil dips in Asia on global oversupply woes

Oil benchmarks on both sides of Atlantic set-off the week on the bearish note, dipping in the Asian trades against a backdrop of omnipresent supply glut concerns.

Oil awaits weekly stockpiles report

Currently, both crude benchmarks keep the red, with Brent down -0.47% at $ 48.49, while WTI oil drops -0.64% to $ 48.10. Oil prices fell as markets ignored recent supply outage reports as well as unchanged US rigs count data and remained concerned over persisting global crude oversupply worries. Global oil supply has still outstripped demand by around 1.5 million barrels per day, Russian Energy Minister Alexander Novak said on Friday.

Moreover, the recent strength seen in the US dollar against its major peers, on the back of increased bets of a June Fed rate hike, also weighs on the dollar-priced in black gold. Later this week, all eyes remain on the usual weekly crude inventory reports from both the API and EIA, while OPEC meeting scheduled on June is eagerly awaited by the oil traders for any hint on output freeze/ cut.