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UPDATE 9-Oil ends lower in choppy trading

Anna Louie Sussman
Tuesday, 26 Nov 2013 | 3:33 PM ET

* Nuclear deal caps Iran's exports at current levels

* Robust U.S. data, protests at Libya refineries boost oil

* Analysts predict 10th straight build in U.S. crude oil inventories

* Coming Up: API data on U.S. oil inventories at 2130 GMT

(Updates prices to settlement, updates poll numbers)

NEW YORK, Nov 26 (Reuters) - Brent crude oil futures edged lower in choppy trading on Tuesday, as investors awaited fresh data after concluding that a deal between Iran and world powers would bring no immediate increase in crude supplies.

"The market is waiting to see how things develop with Iran. For the oil markets, this puts us in kind of a holding pattern," said Phil Flynn, an energy analyst with the Price Futures Group in Chicago, Illinois.

"There are not a lot of headlines to drive us until we get new data," Flynn said.

Refined products including ICE gasoil, RBOB gasoline and heating oil finished the session up. Heating oil remained firm throughout the session, as cold temperatures elevated demand at a time when inventories were expected to drop.

"It's cold...and we're seeing a surge towards the commodity that's more in demand at this time of year," said Stephen Schork, editor of the Schork Report in Villanova, Pennsylvania.

U.S. crude oil inventories were expected to have risen by 600,000 barrels last week while distillates fell by 1.1 million barrels, according to a Reuters poll of eleven analysts. Gasoline stocks were expected to have inched up 300,000 barrels, the poll showed.

Schork said gasoline supplies were at a surplus relative to the 5-year average, but distillates are at a deficit to the 5-year average.

Brent outperformed U.S. crude oil, or West Texas Intermediate (WTI), for most of the session, pushing the spread between the two benchmarks to an 8-month high.

"U.S. inventories are still burgeoning and we're still getting that big disconnect" between the benchmarks' prices, said Flynn.

Front-month Brent crude fell 12 cents to settle at $110.88 a barrel. It plunged by as much as $3 on Monday but recouped most of those losses to end 5 cents down.

U.S. oil fell 41 cents to $93.68 a barrel, below the 10-day moving average of $93.96.

The Brent-WTI spread settled at $17.20, having swung between an 8-month high of $17.46 earlier in the session and a low of $16.05 for the session.

Analysts noted that U.S. crude has traded in a narrow range between around $92 and $96 since the beginning of the month. Brent, which is more responsive to geopolitical risk, has moved between $103 and $112 in November.

The nuclear deal, reached in Geneva on Sunday, halts Iran's most sensitive nuclear activity and suspends some sanctions by the West, but caps Iran's exports at the current level of about 1 million barrels per day (bpd).

Iran is mobilizing more ships to store and transport oil, aiming to keep its fields working and mitigate losses of several billion dollars a month as sanctions remain in place for at least another six months, sources say.

Libyan oil workers, civil servants and private sector staff went on strike in the port city of Benghazi on Tuesday, protesting against deteriorating security a day after deadly clashes there between the army and Islamist militants.

With more Iranian oil unlikely to enter the market in the next six months, supply concerns continue to support Brent prices amid disruptions to oil exports from Libya that show little sign of easing.

Industry group American Petroleum Institute (API) will release its weekly oil inventory figures at 4:30 p.m. EST (2130 GMT), followed by the official U.S. Energy Information Administration data on Wednesday.

CME Group on Tuesday said it had changed the contract expiration price of 10 New York Mercantile Exchange energy products and related instruments settled between May and October due to a technical glitch.

(Additional reporting by Joshua Franklin and Lin Noueihed in London, Manash Goswami in Singapore; editing by James Jukwey and Phil Berlowitz)