UPDATE 8-Oil mixed as virus fears, U.S. stock build face talk of further OPEC cuts

* Brent edges up, U.S. crude slips following five-day rout
* Asia jet fuel demand slumps as airlines cancel flights
* U.S. crude stocks up more than expected as refiners cut
runs-EIA
* OPEC could extend output curb, deepen cuts -sources
* Interactive graphic on outbreak: https://tmsnrt.rs/3125EXv

(Updates with settlement prices)
By Laila Kearney
NEW YORK, Jan 29 (Reuters) - Oil prices were mixed on
Wednesday as worries about the coronavirus outbreak and swelling
U.S. crude inventories weighed on prices, counter-balanced by
talk that OPEC could extend oil output cuts.
Brent crude LCOc1 rose 30 cents, or 0.5%, to settle at
$59.81 per barrel. U.S. crude Clc1 ended at $53.33, down 15
cents or 0.3%.
Financial markets are trying to assess economic fallout as
the virus spreads out of China where the death toll continues to
rise, while airlines cut flights to China. MKTS/GLOB
"Following the outbreak of coronavirus, commodities markets
suffered from a technical selloff," said Michel Salden, senior
portfolio manager of Vontobel Asset Management. But oil prices
would likely rebound soon after a 14% drop so far, far more than
the fall in stock markets.
Majors airlines, including American Airlines, British
Airways and Lufthansa, have suspended direct flights to and from
mainland China due to the outbreak. Jet fuel demand has slumped in Asia as airlines have
cancelled connections. U.S. crude inventories grew more than expected last week,
while gasoline stocks hit record highs for a second week in a
row, the Energy Information Administration said in its weekly
report. EIA/S
Crude inventories USOILC=ECI rose by 3.5 million barrels
in the week to Jan. 24, as refiners cut runs and demand for
gasoline and diesel slipped. Gasoline stocks USOILG=ECI rose
for a 12th straight week to an all-time high at 261.2 million
barrels, the EIA said.
"We have seen a number of refinery maintenance announcements
both planned and unplanned over the past week or two, and that
is reflected in a setback for refinery operations," Anthony
Headrick, energy market analysts at CHS Hedging LLC in Inver
Grove Heights, Minnesota.
The Organization of the Petroleum Exporting Countries wants
to extend production cuts, currently planned till the end of
March, until at least June, and could deepen reductions should
oil demand in China fall significantly due to the coronavirus,
OPEC sources said. OPEC and its allies, including Russia, have been trying to
stabilise prices in the face of sagging global demand and rising
supplies, particularly from the United States.
"Will deeper OPEC supply curbs provide the panacea for the
current oil market malaise? Probably not," said Stephen Brennock
of oil broker PVM. "The oil cartel, therefore, faces an uphill
battle to support oil prices."

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CHART: U.S. oil may test resistance at $54.67 Brent oil may bounce more into $60.91-$61.88 range
Coronavirus interactive https://tmsnrt.rs/3125EXv
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