Oil prices held steady today as expectations that swollen crude stockpiles in the United States would build again erased earlier gains.
US crude edged down 3 cents at $48.58 a barrel after it rose to as high as $48.86 in early electronic trade. London Brent crude was up 11 cents at $49.20 a barrel.
The market is down more than 6 per cent from a week ago and crude touched $47.60 yesterday, its lowest level since February 18th.
US crude oil stocks, already at their highest level since July 1999, were expected to rise another 1 million barrels in the week to May 13th, a preliminary Reuters survey of nine analysts forecast.
US government data are due out tomorrow.
A stronger US currency makes dollar-denominated oil more expensive for investors using other currencies and can tempt some energy speculators to switch funds into other markets.