Summary "There's still no big change to the supply and demand fundamentals in the oil market"
SINGAPORE (AFP) - Oil prices were mixed in Asia Thursday as lingering worries over the crude supply glut held down gains sparked by stronger US demand and a falling dollar, analysts said.
US benchmark West Texas Intermediate for September delivery dropped three cents to $43.27 and Brent crude for September gained six cents to $49.72 in midday trade.
Prices had edged higher from six-year lows on Wednesday on news that US crude supplies fell -- a sign of stronger demand -- and the dollar declined.
The US Department of Energy Wednesday said the estimated amount of crude oil in the country s commercial storage tanks tumbled 1.7 million barrels to 453.6 million barrels in the week ending August 7.
The report also said US domestic oil production fell 70,000 barrels a day to about 9.4 million barrels, which is positive for oil prices in an oversupplied market.
The dollar took a hit after China s surprise move to devalue the yuan, with analysts saying this could delay plans by the US central bank to raise interest rates, a move previously expected as early as September.
A weaker US currency makes dollar-priced oil cheaper for holders of other units, perking up demand and supporting prices.
But analysts said gains in oil in New York, where prices edged up Wednesday from six-year lows, were being held back by continued concerns over a glut in the world crude market.
"The market is just bearish overall," said Daniel Ang, an investment analyst with Phillip Futures in Singapore.
"There s still no big change to the supply and demand fundamentals in the oil market," he told AFP.
