Oil prices dipped on Tuesday as investors closed financial positions that profited from strong gains the day before.

    International Brent crude futures LCOc1 was trading at $55.65 per barrel, down 4 cents from its last close. US West Texas Intermediate (WTI) crude futures CLc1 was down 8 cents at $52.75 a barrel, with US producers not participating in production cuts. 

    Traders said there was significant profit-taking after oil shot to mid-2015 highs earlier this week after the Middle East-led Organization of Petroleum Exporting Countries (OPEC) and other exporters led by Russia reached a deal to cut output by almost 1.8 million barrels per day to reduce oversupply and prop up prices.

    But they added that oil markets were still broadly supported by the deal to crimp output.