Oil Prices continue dip with stronger Dollar

 Oil prices fell in thin trade on Tuesday as the US dollar strengthened, but losses were curbed by a likely drawdown in US crude and gasoline stockpiles.

    Brent futures had declined 42 cents to $47.93 a barrel by 0643 GMT, after closing down 37 cents in the previous session. US crude futures dropped 32 cents to $47.76 a barrel, having settled down 33 cents the day before. 

    The dollar index rose against a basket of currencies on Tuesday, as investors continued to factor in an increased chance of a near-term US interest rate rise.

    US commercial crude oil stocks likely fell by around 2.5 million barrels to 538.8 million in the week ended May 20, a preliminary analysts' poll taken ahead of weekly industry and official inventory data showed on Monday.

    Gasoline stocks probably dropped 1.3 million barrels last week, while distillate inventories, which include heating oil and diesel fuel, likely decreased by a million barrels, the poll showed. The United States is gearing up for its summer driving season.

    The American Petroleum Institute (API) is due to release inventory data later on Tuesday, while figures from the US Department of Energy's Energy Information Administration (EIA) will come on Wednesday.