Oil dipped on Wednesday, pulled down by another rise in OPEC supplies despite a pledge to cut production, but geopolitical tensions in the Korean peninsula and the Middle East put a floor under prices.
Brent crude futures, the international benchmark for oil prices, were at $49.55 per barrel at 0456 GMT, down 6 cents, or 0.1 percent, from their last close.
U.S. West Texas Intermediate (WTI) crude futures were at $46.99 per barrel, down 8 cents, or 0.2 percent.
Despite the dips, both markets have recovered around 12 percent from recent lows on June 21, although crude prices seem locked below $50 per barrel.
“Oil bulls have numerous obstacles to overcome,” said Stephen Schork of the Schork Report, pointing to rising OPEC output and high production in the United States.