Oil prices erase gains amid Middle East truce efforts

Oil drilling rigs

Oil prices erased early gains today, Oct. 29, following reports of diplomatic talks to end the war in Lebanon. In addition, weak demand from China, the world's largest importer of crude oil, continued to weigh.

Brent crude slipped 0.4%, or 30 cents, to close at $71.12 a barrel, after touching $72.60.

WTI crude fell 0.25%, or 17 cents, to $67.21 a barrel, after touching $68.52.

BP Chief Executive Murray Auchincloss said demand would return to normal growth rates after Chinese President Xi Jinping introduces new stimulus measures for the economy, Reuters reported.

Meanwhile, the American Petroleum Institute's report on oil inventories is expected later today, and the US Energy Information Administration is scheduled to release official inventory data on Oct. 30, amid expectations of a 1.5 million barrel increase in crude inventories.