Oil futures extended gains in early Asian trade on Wednesday as US crude and gasoline inventories fell more than expected and the Energy Information Administration (EIA) raised its 2015 oil demand growth forecast.

Front-month Brent crude futures rose 9 cents to $64.97 a barrel by 0105 GMT. US crude climbed 46 cents to $60.60 a barrel.

The gains came after prices for crude oil, gasoline and diesel jumped more than 3 per cent on Tuesday as bullish investors made bets across the oil complex for another weekly drop in US stockpiles.

"Crude oil prices rallied strongly overnight. US weekly crude oil inventories fell by a large 6.7 million barrels compared with expectations for a decline of less than 2 million barrels," ANZ bank said in a morning note on Wednesday.

"US weekly gasoline stocks also fell according to API, with gasoline stocks falling by 3.87 million barrels vs a Reuters poll of analysts expecting an increase of 280,000 barrels," it added.

The US government's Energy Information Administration (EIA) will issue official inventory data on Wednesday.

The EIA on Tuesday also raised its 2015 world oil demand growth forecast by 20,000 barrels per day to 1.25 million bpd.

Despite the rallies this week, analysts said that big further gains were unlikely and that prices could start falling again as a global oversupply of crude remains in place.

"With US production still around record levels, the Opec keeping its output quota unchanged at 30 mb/d and indications that Opec members may even increase its production, the situation of oversupply will remain longer than expected. This, combined with our forecast for a stronger US dollar, will keep downside risks alive," ABN Amro said in its June monthly commodity update. – Reuters