Oil prices remained near 2016 highs in early trading on Thursday, buoyed by a fall in U.S. crude inventories, a weaker dollar and strong demand, but some analysts warned that the recent rally was starting to look overblown.

 International Brent crude oil futures  were trading at $52.70 per barrel at 0045 GMT, up 19 cents from their last close.

U.S. West Texas Intermediate (WTI) crude was 32 cents higher at $51.55 a barrel.

Traders said the price rises were largely a result of a drop in U.S. crude oil inventories.Data from the U.S. Energy Information Administration (EIA) showed U.S. crude stocks last week fell by 3.23 million barrels to 532.5 million barrels, marking their third consecutive weekly fall.

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