Oil Prices Decline On Demand Worries

(RTTNews) - Oil prices traded lower on Thursday, after having risen nearly 3 percent in the previous two sessions on concerns over the possibility of a retaliatory strike from Iran on Israel.

The downside, however, remained capped after government data showed a steep draw in U.S. crude stockpiles.

Also, Libya's National Oil Corporation has declared force majeure on all crude loadings from the Sharara oil field with immediate effect.

Benchmark Brent crude futures dipped 0.6 percent to $77.85 a barrel in European trade, while WTI crude futures were down half a percent at $74.85.

The killing of senior members of militant groups Hamas and Hezbollah last week raised the possibility of retaliatory strikes by Iran against Israel.

The assault has sparked increased regional tensions as Washington intensifies its efforts to reach a ceasefire deal.

Israel and Hamas are close to reaching a cease-fire in the Gaza Strip, a White House official said Wednesday.

"We are as close as we think we have ever been," National Security Communications Advisor John Kirby told reporters.