Oil futures declined on Wednesday, settling at their lowest in about a week, as a report that President Donald Trump is considering easing sanctions on Iran raised the possibility of the return of the country's crude to the world market.

Trump discussed easing sanctions on Iran in a move to secure a meeting with Iranian President Hassan Rouhani later this month, Bloomberg News reported Wednesday, citing people familiar with the matter.

The move comes a day after Trump announced that U.S. National Security Adviser John Bolton, who had argued to push Iranian oil exports to zero, stepped down.

A weaker demand outlook from OPEC on Wednesday also fed the price decline, despite U.S. government data showing a fourth straight weekly fall in domestic crude supplies.

West Texas Intermediate crude for October delivery fell $1.65, or 2.9%, to settle at $55.75 a barrel on the New York Mercantile Exchange—the lowest for a front-month contract since Sept. 3, according to Dow Jones Market Data. November Brent crude lost $1.57, or 2.5%, to $60.81 a barrel on ICE Futures Europe, the lowest finish since Sept. 4.

Source : Marketwatch