Oil falls on weak demand concerns

Oil drilling rigs

Oil prices slipped today, July 31, amid concerns about weak demand in the world's largest economies, following a surprise increase in US crude inventories.

Brent crude was trading down 0.25% at $73.05 a barrel, at 08:00 am Makkah time. West Texas Intermediate (WTI) crude fell 0.2% to $69.86 a barrel.

The United States warned China, Russia's largest oil importer, that it could face hefty tariffs if it continues to buy crude from Moscow, in a further escalation of economic pressure linked to the war in Ukraine, Reuters reported.

Meanwhile, US crude oil inventories rose by 7.7 million barrels in the week ended July 25, reaching 426.7 million barrels, driven by lower exports. Analysts had expected a decrease of 1.3 million barrels.