* U.S. crude stocks rise by 1.4 million bbls - API data
* Analysts had been expecting a drop in inventory
* Investors eye China-U.S. trade negotiations for trading
* Coming up: U.S. EIA inventory data at 1530 GMT
By Jessica Jaganathan
SINGAPORE, Dec 11 (Reuters) - Oil prices fell on Wednesday
after industry data showed a surprise build in crude oil
inventory in the United States and as investors waited for news
on whether a fresh round of U.S. tariffs on Chinese goods would
take effect on Sunday.
Brent futures LCOc1 fell by 37 cents, or 0.6%, to $63.97
per barrel by 0121 GMT. U.S. West Texas Intermediate crude
CLc1 slipped by 30 cents, or 0.5%, to $58.94 a barrel.
"Oil fell from its highest close in almost three months
after the API inventory reported a build bearish to consciences
while uncertainly over the December tariff deferral added to the
soft tone," Stephen Innes, chief Asia market strategist at
AxiTrader, said, referring to U.S. crude's close on Dec. 10.
U.S. crude stocks clocked a surprise rise in the most recent
week while gasoline and distillate inventories also rose, data
from industry group the American Petroleum Institute shows.
Crude inventories rose by 1.4 million barrels in the week to
Dec. 6 to 447 million, while analysts were expecting a fall of
2.8 million barrels. API/S
The weekly EIA report is due later on Wednesday. EIA/S
The U.S. is on track to become a net exporter of crude and
fuel for the first time on record on an annual basis in 2020,
the EIA said, due to a production surge that has dramatically
reduced its dependence on foreign oil. Also adding to global supply, U.S. producers Exxon Mobil
Corp XOM.N and Hess Corp HES.N plan to export the first-ever
shipments of crude oil from Guyana between January and February,
a milestone for Latin America's newest oil producer, sources
with knowledge of the plans said. U.S.-China trade tensions continued to cloud demand outlook
with a Dec. 15 deadline for the next round of U.S. tariffs on
Chinese imports weighing on markets.
Investors are also eyeing other major events this week
including the British election on Thursday and U.S. and European
Central Bank meetings for further trading cues.