ENERGY: Oil prices up 1% after Wednesday pressure

Oil climbed more than 1% on Thursday after heavy losses in the previous session following the announcement of record crude inventories in the US and OPEC-driver Saudi Arabia continuing its output at maximum levels.

The benchmark Brent crude oil rose 62c a barrel to $56.17 after shedding about $3.50 a barrel or almost 6% on Wednesday. The US benchmark WTI was also up 64c a barrel on Thursday at $51.06.
High output levels, primarily by OPEC members and dropping demand has kept oil prices pressed at less than half their levels last June. US crude inventories added to the glut when stockpiles were seen up 10 mln barrels this week to 482 mln, while the Saudi Kingdom, determined to flush the market with cheap crude and push shale gas producers out, announced its March output had peaked at 10.3 mln bpd.
This could soon change as the US gradually removes restriction on crude exports as its inventories are at record high levels.
But a provisional deal with Iran over nuclear monitoring and the anticipated removal of western sanctions could mean that the Islamic Republic may also see its output double to pre-sanction levels, even though officials in Tehran said this is not likely in 2015.