Oil prices decline slightly ahead of US inventory data

Oil drilling rigs

Oil prices dipped today, Sept. 17, after rising more than 1% in the previous session, amid anticipation of the Federal Reserve's interest rate decision and the release of US inventory data.

Brent crude was trading down 0.15% at $68.36 a barrel, at 08:04 am Makkah time. West Texas Intermediate (WTI) fell 0.1% to $64.45 a barrel.

Markets are betting on a 25 basis point rate cut by the Federal Reserve, which traders believe could ease borrowing costs and boost fuel demand, said Priyanka Sachdeva, Senior Market Analyst at Phillip Nova, according to Reuters .

Markets are awaiting the release of official weekly inventory data from the Energy Information Administration later today, after the American Petroleum Institute estimated that crude oil inventories fell by 3.42 million barrels during the week ending Sept. 12.