2017.12.2023:46:00UTC+00Oil Prices Steady on Lower U.S. Crude Inventories

Oil prices were on a steady footing after posting solid gains late in the prior session on the back of a decline in U.S. crude stockpiles.

However, another increase in U.S. oil production, which is near to surpassing the 10 million barrels per day level, is limiting crude prices as it erodes efforts led by OPEC and other producers to tighten the market by withholding production this year and through 2018.

U.S. WTI crude futures stood at $58.05 per barrel, falling 3 cents from their last close. The international benchmark for oil prices, Brent crude futures, traded at $64.58 per barrel, falling by 8 cents. Both crude benchmarks edged up around 1 percent during the prior session.

According to traders, the drawdown in U.S. crude oil inventories were providing supporting the market. U.S. crude stockpiles declined by 6.5 million barrels in the week to December 15, according to the Energy Information Administration's report on Wednesday. Total crude stocks declined to 436 million barrels, its lowest level since October 2015.

The rebalancing of supply and demand is a result of OPEC and other participating countries' voluntary production cuts.