Crude prices fall for first time in three days on U.S. inventory outlook

Crude prices deepened their losses in European trade on Wednesday, heading for the first loss in three days on profit-taking after hitting a seven-week high yesterday, while the dollar climbs against a basket of currencies, and as analysts expect U.S. inventories to rise for the fifth week in a row.
 
As of 12:50 GMT, U.S. crude fell to $53.95 a barrel from the opening of $54.23, with an intraday high at $54.58, and a low at $53.95.
 
U.S. crude April futures rose 0.5% yesterday, the second daily gain in a row, hitting a seven-week high at $55 after OPEC's general secretary's bullish statements.
 
The dollar index rose 0.3%, advancing for the fourth day in a row and putting further pressure on greenback-denominated crude futures as they become more expensive to holders of other currencies.
 
Later today, the American Petroleum Institute will release initial data on U.S. crude stocks, expected to rise for the fifth straight week, while tomorrow, the Energy Information Administration will release the official report.