Oil prices drops below $61.5

Oil prices drops below $61.5

Oil prices fell sharply today as a report showed a rise in U.S. inventories and fears about the impact of sanctions on Venezuela started to fade.

Global benchmark Brent crude dropped nearly 1% to $61.39 a barrel while WTI futures were down more than 1% at $53.12 a barrel.

The American Petroleum Institute reported late Tuesday that U.S. crude inventories rose by 2.5 million barrels last week at a time of weakening global demand, Morning Star reported.

Inventory data from the Energy Information Administration will be released later today. Investors are also expecting that disruption to supplies from Venezuela will not be large in the long run.