Oil prices closed off their session lows on Wednesday after OPEC sources said the group was likely to consider a new output ceiling at its forthcoming meeting, although many in the market still appeared skeptical about such a deal.
Brent crude futures were down 11 cents at $49.79 per barrel, after striking an intraday low at $48.65.
U.S. crude futures settled 0.18 percent lower, or 9 cents, at $49.01 a barrel, after plumbing to $47.75 earlier.
Reuters cited four OPEC sources as saying the Organization of the Petroleum Exporting Countries was likely to consider a production cap at its Thursday meeting.
An earlier report on Wednesday said Gulf OPEC members, including Saudi Arabia, were considering reviving the idea of coordinated oil output action by major producers, a senior OPEC source said.