On Monday, oil prices declined as worries about fuel consumption in the main two oil importers in the world, the United States and China, outweighed positive outlook regarding tighter supplies as a result of OPEC+ supply cutbacks and a restart of U.S. buying for reserves.

Brent crude futures slumped by 0.35%, to $73.91 per barrel meanwhile West Texas Intermediate crude edged down by 0.29% at $69.34 per barrel.

The previous week, the two main gauges experienced their longest run of weekly drops since September 2022, falling for a fourth straight week. The reason for this was worries that the US could experience a recession due to the "significant risk" of a historic default within the first two weeks of June.

Investors will be looking for signs of an increase in oil demand in the next week as they comb through China's avalanche of economic data on industrial output, fixed asset investment, and retail sales, she added.

Nevertheless, as OPEC+, the Organization of the Petroleum Exporting Countries and its allies, including Russia, continue to cut output, sour crude supply may become more scarce globally in the second half.