Although OPEC is pumping record amounts of crude oil, an expected new dip in prices may not last long, energy analyst Matt Smith told CNBC on Wednesday.
The director of commodity research at ClipperData predicted a price drop following Tuesday's American Petroleum Institute report that indicated a build in inventory.
That build is likely to be mirrored in more comprehensive data coming Wednesday from the Energy Information Administration.
But Smith said other factors could spark market volatility.
With Saudi Arabia, Iran, Iraq, Libya and Nigeria all "pumping, pumping, pumping," Smith told "Squawk Box" that the market is under stress and "still out of wack."