Oil is trading lower today after yesterday's strong rally as data reported yesterday showed that U.S. stockpiles grew more-than-expected and Saudi Arabia, the OPEC's biggest producer reported a record output for March of 10.3 million barrels per day. Saudi Arabia's oil minister Ali al-Naimi said that the output is likely to remain at that level or eve increase with the return of Iran. Iranian exports are, according to experts, not likely to increase till 2016.

API Crude Oil Inventories rose by 12.2 million barrel, far more than the expected increase of 3.4 million barrels. Now market participants await the official weekly inventory report of the Energy Information Administration scheduled for 14:30 GMT.

Brent Crude lost -1.22% currently trading at USD58.38 a barrel. On January 13th Crude set a low at USD45.19. West Texas Intermediate dropped -2.22% currently quoted at USD52.78.

Oil prices declined sharply in recent months as worldwide supply exceeds demand in a period of low global economic growth, pushing stockpiles to record highs and weighing on prices.