WTI Oil flat lined in Asia on US gasoline buildup

Having retreated from the NY session high of $54.09, WTI Oil prices are trading sideways to negative in the Asian session as traders take note of the buildup in gasoline and distillate stocks.

At the time of writing, WTI oil was trading flat around $53.70/barrel.

The US EIA inventory report released on Thursday showed a draw of 7.1 million barrels in the oil stockpiles. However, the bullish oil inventory report was overshadowed by the gasoline inventories, which increased by 8.3 million barrels.

Furthermore, there are reports that at least three OPEC members - Libya, Nigeria, and Iran - are planning to expand their production.

Oil traders now await the weekly US Baker Hughes oil rig count data. The long-run success of the OPEC deal largely depends on how fast the Shale producers expand their output in response to higher prices.