Oil prices pared losses on Wednesday after weekly data showing strong gasoline demand and brisk refinery activity offset a big rise in crude stockpiles and record oil output south of the border.
Brent futures were down 32 cents at $71.84 U.S. approaching noon ET Wednesday, after falling nearly a dollar to a low of $71.19 a barrel, its weakest since April 17.
U.S. West Texas Intermediate crude was down six cents at $68.02, after nearly falling below Tuesday's one-month low of $67.03 U.S. per barrel.
Figures released Wednesday by the U.S. Energy Information Administration showed that crude inventories rose by 5.8 million barrels in the week leading up to July 13. Analysts expected a decrease of 3.6 million barrels.
Preliminary figures also revealed that U.S. crude production hit 11 million barrels a day due to a jump in output in Alaska. The figure puts the United States closer to surpassing top producer Russia.
Oil markets have fallen over the last week as Saudi Arabia and other members of the Organization of the Petroleum Exporting Countries and Russia increased production and as some supply disruptions eased.
