Oil prices fall on weak US demand

Oil drilling rigs

Oil prices declined today, July 3, amid concerns about weak US demand after government data showed a surprise increase in inventories last week.

Brent crude was trading down 0.8% at $68.56 a barrel, at 08:09 am Makkah time. West Texas Intermediate (WTI) crude fell 0.75% to $66.95 a barrel.

The US Energy Information Administration said on July 2 that domestic crude oil inventories rose by 3.8 million barrels to 419 million barrels last week, compared to expectations for a decrease of 1.8 million barrels.

Both crude benchmarks rose in the last session after Iran passed a law suspending cooperation with the UN's International Atomic Energy Agency, raising concerns about a renewed dispute over its nuclear program.