From the previous session, oil prices prolonged losses in European trade on Tuesday, falling to fresh four-week decrease amidst increasing doubts over the probability of a production freeze taking place later this month.
On the ICE Futures Exchange in London, Brent oil for June supply hit an intraday short of $37.36 per barrel, a level not witness since March 4, before improving to $37.59 by 06:52GMT, or 2:52AM ET, fall to 10 cents, or 0.27 percent.
The previous day, London-traded Brent futures fell 98 cents, or 2.53 percent, as investors suspected that oil producing countries would freeze production to address a worldwide oversupply.
On April 17, Producers from the Organization of the Petroleum Exporting Countries and non-members are scheduled to meet in Doha, Qatar to talk over an production freeze. However, it is not clear precisely which or how many, OPEC and non-OPEC members will join the meeting.
Last week, Saudi Deputy Crown Prince Mohammed bin Salman stated that the kingdom will not cap production unless Iran and other main producers do so.
Iran has upheld that it will not contribute to any production freeze up until its crude exports go back to pre-sanction levels, forming uncertainties over whether a highly awaited production freeze will really take place.
Brent futures are down nearly 12 percent from their March peak of $42.50 per barrel. Despite current losses, prices are still up by approximately 40 percent since briefly falling below $30 per barrel on February 11.
Short-covering started in mid-February after Saudi Arabia and fellow OPEC members Qatar and Venezuela settled with non-OPEC member Russia to freeze production at January levels, as long as other oil exporters joined in.
Somewhere else, crude oil for May delivery on the New York Mercantile Exchange declined 20 cents, or 0.55 percent, to trade at $35.50 per barrel after falling to a daily low of $35.27, the weakest level since March 4. On Monday, Nymex oil dipped $1.09, or 2.96 percent.
Market players looked forward to fresh weekly information on U.S. supplies of crude and refined products. The American Petroleum Institute will announce its inventories report later in the day, whereas Wednesday’s government report could show crude supplies increase by 3.3 million barrels in the week ended April 1.
Since declining to 13-year lows at $26.05 on February 11, U.S. crude futures have rallied by about 40 percent as a weakening in U.S. shale production increased sentiment. Although, analysts notified that market situations stayed weak due to an ongoing oversupply.
In the meantime, Brents premium to the WTI crude agreement raised at $2.09 per barrel, in comparison to a gap of $1.99 by close of trade on Monday.