New York: Oil prices fell more than 1 percent on Thursday, following reports of unexpected increases in U.S. crude and fuel inventories. This development has raised concerns over demand in the world’s largest oil consumer.

According to National Iraqi News Agency, Brent crude futures reached a session low of $63.86 per barrel. Similarly, U.S. crude futures dropped to a low of $60.60 per barrel. The decline in prices comes as the market reacts to the latest data on stockpiles.

The U.S. Energy Information Administration reported that crude oil inventories rose by 1.3 million barrels, bringing the total to 443.2 million barrels for the week ending May 16. The increase in inventories suggests a potential oversupply, which could affect global oil prices and demand forecasts.