U.S. crude oil inventories increased more than expected as production picked up, while the build in gasoline stocks extended to almost three months.

Oil prices dropped over 1% on Wednesday as rising U.S. stockpiles and concern about a new Sino-U.S. trade war fuelled fears of weaker economic growth, offseting U.S. President Donald Trump's renewed push to eliminate Iranian crude exports.

Crude oil inventories and gasoline stocks saw larger than expected builds last week, leading to a renewed sell off in oil