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NEW YORK, Dec 12 Reuters Oil prices fell more than 3 on Tuesday, hitting their lowest level in six months amid growing concerns of oversupply and new U.S. economic data signaling softer demand in the coming months.

Brent crude futures for February fell 2.90, or 3.8, to 73.13 per barrel by 1700 GMT and traded as low as 73.08, the lowest since June. U.S. West Texas Intermediate crude for January slipped 2.79, or 3.91, to 68.53.

In the U.S., the consumer price index unexpectedly rose in November while inflation pushed higher, offering more evidence that the Federal Reserve was unlikely to pivot to interest rate cuts early next year.

The inflation data was in line with estimates, but speaks to a softening demand picture, said John Kilduff, partner with Again Capital LLC.

Global oil demand growth is set to slow in 2024 with OPEC and the International Energy Agency split on the extent. Meanwhile, a recent OPEC deal to limit supply underwhelmed the market.

Negative sentiment towards the oil complex is still overpowering at the moment, Kpler analyst Matt Smith said. Weak demand and concerns that the OPEC deal will not do enough to limit oil supply continue to weigh on prices, he added.

OPEC and the IEA both update their forecasts this week.

With U.S. inflation figures out…