TOKYOBEIJING, June 20 Reuters Oil prices slipped on Tuesday after China cut benchmark lending rates less than some expected, sowing further concern over the oil demand outlook in the world39;s largest crude importer.

Brent crude was down 19 cents at 75.90 a barrel at 0545 GMT. U.S. West Texas Intermediate WTI crude for July was down 1.02 from Friday39;s close at 70.76. The July contract expires at the end of trade on Tuesday.

The more active WTI crude contract for August delivery was down 83 cents from Friday at 71.10 per barrel. There was no settlement in the WTI contract on Monday due to a public holiday in the United States.

China on Tuesday cut two benchmark lending rates  its oneyear loan prime rate LPR and the fiveyear LPR by 10 basis points each. The cuts, the first in 10 months, were less aggressive than some forecasts, with 50 of respondents to a Reuters poll anticipating a 15bps cut to the 5year LPR.

The rate cuts … were widely expected, hence it did not offer a bullish push to the oil markets, said Tina Teng, a markets analyst at CMC Markets in Auckland.

Oil traders may need to see a materialized strong economic rebound in China to improve their outlook on oil demand, Teng said.

The rate reductions follow recent economic data that showed China39;s retail and factory sectors are struggling to sustain the momentum seen earlier this year.

The Chinese government met last week to discuss measures to spur growth in the economy, and several major banks…