BUZZ-Oil service names still showing signs of weakness

** Oil services sector comes under renewed pressure despite a stabilisation in the oil price in 2015

** Weekly crude inventory build of 8.9 mln bbls, according to API, more than double 4 mln forecast

** API indicator has been good predictor of more widely followed US Energy Information Administration numbers due later on Wednesday

** In recent months oil price has been supported by falling US rig count despite sharp rise in inventories, could change once contango play ends and stores released into the market. Chart: http://link.reuters.com/rap24w

** Newsflow also supportive to shorts: Weir and Vallourec (LSE: 0NR2.L - news) leading Stoxx 600 lower after warning on outlook

** Afren (LSE: AFR.L - news) and Fugro (LSE: 0LNT.L - news) also among top fallers on the index

** CGG (LSE: 0O2V.L - news) falls 2.5 pct, highly shorted with 7.8 pct shares out on loan, reports results on Thursday

** Petrofac only sector outlier, rises 8.6 pct post results, high short base suggesting a squeeze rather than fresh buyers

** Traders say sellers of the sector still being seen despite Brent stabilising around $58/bbl in second half of February

(RM (LSE: RM.L - news) : alasdair.pal.thomsonreuters.com@reuters.net)