U.S. commercial crude oil inventories (excluding those in the Strategic Petroleum Reserve) increased by 5.7 million barrels from the previous week. At 538.1 million barrels, U.S. crude oil inventories are about 14% above the five year average for this time of year.

The imbalance is forecast to reach 4.6 million bpd in July, 4.2 million bpd in August

A decisive close below 36.25$/barrel will prompt a seemingly BEARISH move towards the low price 30$/barrel range and a maximum test at 29.00$/barrel support zone.

"Our oversupply was a little less than 100,000 b/d against the agreed numbers, and so that is not really that significant," Kyari said.

Brent fell 70 cents, or 1.7%, to $40.48 a barrel, WTI dropped 98 cents, or 2.5%, to $37.96.

monthly Brent prices will average $37/b during the second half of 2020 and rise to an average of $48/b in 2021.

BP will begin a process of cutting 10,000 jobs following the end of a three-month redundancy freeze that started in March.

Brent was down 52 cents, or 1.3%, at $40.28 a barrel, WTI fell 27 cents, or 0.7%, to $37.92.

Brent was up 50 cents, or 1.2%, at $42.80 per barrel, WTI rose 31 cents, or 0.8%, to $39.86 a barrel.

Iraq's output was well above its quota of 3.592 million b/d for May and June. as agreed under the historic production cuts of OPEC and its allies, led by Russia.