Oil prices pared losses as four sources of the Organization of the Petroleum Exporting Countries said the producer group would consider a new oil output ceiling at its Thursday meeting.
Futures had fallen earlier on expectations OPEC would not act to curb oil supply as a number of members remain focused firmly on defending market share.
Brent crude futures briefly turned positive and were down 32 cents at $49.57 U.S. per barrel, shortly before noon ET Wednesday. U.S. crude futures fell 33 cents to $48.77 U.S. a barrel.
Futures steadily declined throughout the morning despite a senior OPEC source saying Gulf members including Saudi Arabia are looking to revive the idea of coordinated oil-output action by major producers when the group meets on Thursday.
But traders said oil prices eased on concern that Middle East members of OPEC could continue to raise output.
In the U.S., reaction is expected Thursday from the Energy Information Agency (EIA), a decision put off a day by the Memorial Day holiday.
