Oil prices up on weaker dollar, but supply glut caps gain

Oil prices rose for a fourth consecutive session on Tuesday, boosted by a weaker dollar, but worries over persistent oversupply capped gains. Brent crude futures, the international benchmark for oil prices, gained 46 cents to $46.29 per barrel by 1356 GMT. US West Texas Intermediate (WTI) crude futures were up 39 cents at $43.76 per barrel. The gains mean the market is up slightly so far this week, after spending much of the last month in negative territory. US crude inventory figures due out later on Tuesday could help determine if the market extends its gains. The dollar fell 0.1 per cent against a basket of six major currencies, before a speech by US Federal Reserve Chair Janet Yellen in London.  Nifty Trading Tips

“Short-term financial investors also significantly scaled back their net long positions in Brent on the ICE last week... and find themselves at their lowest level in a year and a half,” Commerzbank said. “Short positions have soared to a new record high, having increased more than four-fold since the beginning of the year.” The Organization of the Petroleum Exporting Countries (Opec) and its partners have tried to reduce a global crude glut with production cuts. Opec nations and 11 other exporters agreed in May to extend cuts of 1.8 million barrels per day (bpd) until March. Future & Option Trading Tips