Oil prices decline as US inventories rise

Oil drilling rigs

Oil prices turned lower today, May 21, following an increase in US crude inventories last week, raising market concerns about weak US demand for crude, especially with the summer driving season approaching.

Brent crude futures for July delivery fell 0.72%, or 47 cents, to $64.91 a barrel, after rising 1.6% earlier in the session.

West Texas Intermediate (WTI) crude futures for July delivery slipped 0.74%, or 46 cents, to $61.57 a barrel.

Data released today by the US Energy Information Administration showed that commercial crude oil inventories rose by 1.3 million barrels last week, contrary to expectations for a decrease of 800,000 barrels.

Additionally, gasoline inventories increased by 800,000 barrels, and distillate inventories increased by 600,000 barrels during the same period.

Oil prices had climbed earlier today following a CNN report that US intelligence believes Israel is planning airstrikes on Iranian nuclear facilities.