Trump bashes OPEC for 'high' oil prices

Earlier in the session, Brent and USA crude futures had retreated on concerns about rising production in the United States and expectations that OPEC and other producers could relax voluntary output cuts when they meet on June 22-23 in Vienna.

Benchmark Brent crude oil was down 35 cents at $75.53 a barrel by 0730 GMT. US light crude CLc1 was up 40 cents, or 0.6 percent, at $66.76 a barrel.

USA crude stocks fell more than expected last week, while gasoline and distillate inventories dropped, the Energy Information Administration said on Wednesday. "Put the exports of crude on top of that, and it's just a really bullish report".

On Wednesday, the IEA said combined output from Venezuela and Iran could fall a further 30 percent next year due to USA sanctions and economic upheaval. "It seems like we need nearly every barrel of that to keep up with this refining demand".

The recent spike in oil should ease in the near term, according to the International Energy Agency's (IEA) latest monthly report, but there could be a large supply gap late next year if the Organization of Petroleum Exporting Countries (OPEC), year as oil demand will grow steadily thanks to a solid global economy.

With output in Russian Federation rising back above 11 million bpd in June and Saudi production climbing back above 10 million bpd, supplies from the top three producers are increasing.

Trump tweeted on Wednesday: "Oil prices are too high, OPEC is at it again". Prices have risen around 60 percent over the a year ago.

"This is the most political OPEC meeting in a long time", said Amrita Sen, chief oil analyst at consultant Energy Aspects Ltd.

Yet, even with the 1.8 million-bpd production rollback, the total OPEC/non-OPEC level would still be around 1 million bpd below the October 2016 levels, because some producers, notably Saudi Arabia, have cut more than intended, while others, most notably Venezuela, have seen involuntary production declines and are unable to lift production, the person told Bloomberg. Moscow's pledge in the deal is to shave off 300,000 bpd from the October 2016 level, which was the country's highest monthly production in nearly 30 years-11.247 million bpd.

American oil production has jumped by nearly a third in the last two years to a record 10.8 million barrels per day.

Fund manager Pierre Andurand at Andurand Capital was bullish.

Pumped further by global trade war fears, oil prices have since surged to multi-year highs, only to then fall back again somewhat, the IEA said.