Oil prices slid for a second day on Tuesday, hovering near $54 a barrel as the market booked profits from a week-long rise and after Saudi Arabia said it could quickly tap spare production capacity. U.S. light crude last traded down 52 cents to $54.05 a barrel, extending Monday's 82-cent loss in New York. Prices hit an intraday low of $53.83. London Brent crude was down 52 cents to $53.88. Prices were dampened by expectations for more OPEC oil and comments from the world's leading exporter Saudi Arabia that it was ready to tap spare capacity if buyers needed more oil. "The Saudi comment has had an affect. Also, the market is struggling to push much higher without any substantial change in supply, shock news or increasing demand," said Daniel Hynes, a commodities analyst at ANZ Bank in Melbourne. Traders are also closely watching gasoline stocks in the United States as the summer driving season draws closer. Adel al-Jubeir, foreign affairs adviser to Saudi Arabia's Crown Prince Abdullah, said after a meeting between President Bush and Abdullah in Texas that world oil supplies were adequate, but the kingdom was willing to provide as much crude oil as buyers wanted. The kingdom is producing slightly over 9.5 million barrels per day (bpd), with between 1.3 million and 1.4 million bpd in spare production capacity that could quickly be tapped, Jubeir said.