Oil falls as U.S. drilling activity increases

Global oil prices slipped on Wednesday as the U.S. dollar in which payments for crude are made rose.

It traded broadly at multi-week highs after OPEC signaled optimism over its deal with other producers to curb output.

The U.S. West Texas Intermediate April crude contract, the new front-month future, was down 34 cents, or 0.6 percent, at $53.99 a barrel.

Brent crude was down 44 cents, or 0.8 percent, at $56.83, having touched its highest since Feb. 2 at $56.20 in the previous session.

Nevertheless, an agreement by major oil producers under the OPEC umbrella, which came into place at the start of this year, lent a floor to oil prices.