Investing.com - Crude rebounded further in Asia on Tuesday as investors took advantage of a sharp overnight fall ahead of U.S. industry estimates on stockpiles later in the day.
Crude oil for October delivery on the New York Mercantile Exchange rose 0.26% to $47.10 a barrel. On the ICE Futures Exchange in London, Brent oil for November delivery gained 0.10% to $49.50 a barrel.
The American Petroleum Institute will release its estimates of crude and refined product stock at the end of last week, while the U.S. Department of Energy reports more closely-watched data on Wednesday.
Overnight, oil prices extended overnight losses during North American hours on Monday, falling almost 2% as a broadly stronger U.S. dollar and fading hopes of a production freeze weighed on sentiment.
Oil's losses came as the U.S. dollar climbed to a two-week high following hawkish comments from two top Federal Reserve officials that hinted at a potential U.S. interest rate hike as early as next month.
Fed Chair Janet Yellen said Friday at a gathering of central bankers in Jackson Hole, Wyoming, that the case for an increase was strengthening, while Vice Chairman Stanley Fischer indicated a tightening is possible at the next review in September.
An increase in U.S. interest rates tends to lift the dollar, which would make oil more expensive for traders who conduct business in other currencies.
Meanwhile, chances that the upcoming meeting among major oil producers in late September would yield any action to reduce the global glut appeared minimal after Iran said it would only cooperate in talks to freeze output if fellow exporters recognized its right to fully regain market share.
Last week, Saudi Arabia's Energy Minister Khalid al-Falih said that he does not believe any "significant intervention" in the oil market is necessary.
An attempt to jointly freeze production levels earlier this year failed after Saudi Arabia backed out over Iran's refusal to take part of the initiative, underscoring the difficulty for political rivals to forge consensus.