World oil prices fell this evening as official figures showed an unexpected rise in US crude inventories, indicating weaker demand. Oil had risen earlier in the day on the back of a weaker US dollar.
Brent North Sea crude fell 76 cents to $77.66 a barrel, while US crude dropped 52 cents to $74.45.
The US Department of Energy announced that crude stockpiles climbed by one million barrels last week, against analysts' expectations for a drop of 1.7 million barrels.
Crude had risen earlier in the day as doubts over the strength of the US economy surfaced after the Federal Reserve warned that 'the pace of recovery in output and employment has slowed'.
The news sent the dollar reeling against the euro and the yen. A weak dollar stimulates demand for dollar-priced commodities like oil, which become cheaper for buyers using stronger currencies.
Gold hits another record high
Meanwhile, gold hit a fresh record above $1,296 an ounce earlier in the day after the Fed outlook. The precious metal surged as high as $1,296.30 an ounce in afternoon trade on the London Bullion Market, extending its record-breaking run.
On the back of gold's run higher, sister metal silver struck the highest levels for two and a half years, at $21.15 an ounce.
