Business

SINGAPORE: Oil prices fell in Asia on Thursday as supply outlook improved with both commodities hovering close to the key $50 mark, worrying traders about producers coming back online.

Crude dipped after two days of strong gains which saw the commodity soar past the benchmark that makes financial sense for producers to restart production.

Prices had been falling following the global financial market turmoil that followed last week’s British vote to bolt out of the European Union.

Official US data released on Wednesday sent oil on an upward trajectory when it showed the country’s commercial crude inventories falling by 4.1 million barrels to 526.6 million barrels in the week ending on June 24, suggesting a tightening supply market.