There’s a record 1.4 billion barrels of crude currently on the world’s oceans, pushing down benchmark prices and sending gasoline under $3 a gallon at the pump in the US.

Brent crude oil prices fell to below $60 a barrel on Tuesday, the lowest since May, amid investor optimism over progressing peace talks between Russia and Ukraine, and a wave of oversupply hitting global oil markets.

Commercial crude oil stocks fell by 1.3 million barrels to 424.4 million barrels last week as exports increased and refineries stepped up their capacity use, said the U.S. Energy Information Administration.

Christof Ruehl, Global Advisor at Crystol Energy, believes OPEC can tolerate oil prices in the mid-$50s and that any decision to cut output would be driven by politics rather than price levels.

Crude oil attempted to strengthen after defending the $55.00–$55.23 long-term support zone but saw short-term enthusiasm fade Thursday at a slightly higher three-day high of $57.00, highlighting prior November support now acting as resistance,

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The commodity complex has been explosive the last few years, leading long-term investors to wonder if crude oil is the next big opportunity.

Crude oil remains under pressure after a failed gap higher, with markets struggling to form a durable bottom. Key support levels are being tested as oversupply and weak global demand continue to dominate the outlook.

China's flows of crude oil into storage probably jumped in November to the highest in six months, as a surge in imports overwhelmed steady refinery processing rates.

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