Oil slips 4.5%, Brent crude hits 3-week high

Oil drilling rigs

Oil prices closed Tuesday lower on uncertainty about the US debt ceiling and forecasts of supplies ahead of OPEC+ meeting.

International benchmark Brent crude fell 4.6%, or $3.53, to settle at $73.54 a barrel, its lowest level in three weeks.

West Texas Intermediate (WTI) crude dropped 4.4%, or $3.21, to close at $69.46 a barrel, the lowest since May 4.

The White House and Republican congressional leaders intensified their efforts to urge lawmakers to support the agreement, and US President Joe Biden and House Speaker Kevin McCarthy expressed confidence in the ratification of the agreement.

Haitham Al Ghais, OPEC Secretary General, said the oil sector would need investments worth over $12 trillion by 2045, with oil demand exceeding 110 million barrels per day.

The American Petroleum Institute is expected to release its oil inventories report on May 31 before the US Energy Information Administration releases official data on inventories on June 1.

Meanwhile, OPEC+ meeting is scheduled for June 4, during which the group will take a decision on its production policy.