Oil falls back from 2016 highs as Opec ramps up production in April
Global oil prices lost ground today after data from the Organization of the Petroleum Exporting Countries (Opec) showed production continued to climb.
At the end of last week oil closed its biggest monthly gain in seven years as the weak dollar and falling US production helped offset concerns.
Opec data, seen by Reuters, revealed that in April output from the oil cartel was up 170,000 barrels a day month-on-month, hitting 32.64m.
Read more: Exxon Mobil profit beats expectations on leaner cost
The figures add to concerns traders and investors have that oversupply fundamentals are still gripping the market.
In late evening trading international benchmark Brent crude slid to $46.06 while US West Texas Intermediate fell to $44.90.
Meanwhile, fresh data suggested an anticipated pick-up in demand may not materialise. The Institute for Supply Management’s US manufacturing index fell more than expected to 50.8 per cent last month from 51.8 per cent in March.
Read more: Five questions and answers about Libya's "illegal" oil shipment
China's manufacturing purchasing managers index fell to 50.1 in April from 50.2 in March.
Expectations for Opec and Russia to agree on a production freeze have all but evaporated after the latest meeting broke apart without a deal in Doha last month.