Brent and WTI fell late last week after reports showed that there is an unexpected rise in US oil and fuel inventories.
Prices were relatively higher earlier because tensions in Eastern Europe and the Middle East heightened fears for supply disruptions. Reuters reported that diplomats failed to make a breakthrough during negotiations, so talks will continue this week.
Also, energy companies in the US cut oil rigs for the first time in 13 weeks after oil prices fell for six consecutive weeks from late October to early December.
A report from Baker Hughes said the cumulative number of oil and gas rigs in the US has increased, up 60% compared to last year.
Most likely, Brent and WTI will experience pressure until the market absorbs the increase in production.
The recent conflict in some producer countries may also affect oil prices, especially since the US is ready to impose sanctions that include boycotting the products.
