LONDON, March 27 Reuters Oil prices fell for a second day, dropping more than 1 on Wednesday on surging U.S. stockpiles and signs that the OPEC producer group is unlikely to change its output policy at a technical meeting next week.

Brent crude futures for May dropped 97 cents, or 1.12, to 85.28 a barrel by 0929 GMT while the more actively traded June contract fell by 92 cents, or 1.07, to 84.71. The May contract expires on Thursday.

U.S. West Texas Intermediate WTI crude futures for May delivery fell 93 cents, or 1.14, to 80.69.

Prices have retreated since climbing to their highest since October last week and remain about 3 above the average closing price in the first week of March.

A sharp rise in U.S. crude inventories and expectations for potential inaction by OPEC next week prompted further unwinding in oil prices as profittaking accelerates after the midMarch rally, said IG market strategist Jun Rong Yeap.

U.S. crude oil inventories rose by 9.3 million barrels in the week ended March 22, said market sources citing American Petroleum Institute figures on Tuesday. Distillate inventories rose by 531,000 barrels, but gasoline stocks dropped by 4.4 million barrels.

Official government data will be published on Wednesday at 1030 a.m. EDT 1430 GMT.

The Organization of the Petroleum Exporting Countries OPEC and allies led by Russia, together known as OPEC, are unlikely to make any oil output policy changes until a full ministerial gathering in June, three OPEC…