Oil Hovers Above One-Month Lows

Oil edged up from one-month lows on Tuesday following its largest one-day slide in more than five weeks, although analysts said the prospect of a more substantial price recovery was limited.

Brent crude futures were up 32 cents at $48.93 a barrel, having fallen by nearly 3% the day before in their biggest one-day drop since Sept. 23. US West Texas Intermediate futures were up 5 cents at $46.91 a barrel, after a near-4% drop on Monday, CNBC reported.

The market remains weighed down by record output from the world's largest exporters and mounting uncertainty that OPEC and its rivals can do much to tackle a two-year global surplus.

Oil prices hit their highest in a year in October after the Organization of Petroleum Exporting Countries said at a meeting in Algeria in late September it had agreed to limit production that is around record highs to help erode the surplus. But a growing number of countries that say they are either unwilling, or unable to cut, has cast doubt on the group's ability to reach an effective deal when it meets on Nov. 30.

"We had a very strong selloff yesterday (Monday) and oil is bouncing a little bit," said Olivier Jakob from Swiss-based consultancy Petromatrix.