June 4 Reuters Oil prices eased as much as 1 in Asian trade on Tuesday, extending losses from a fourmonth low in the previous session, as investors worried about supply ticking up later in the year amid signs of weakening U.S. demand.

Brent crude futures fell 73 cents, or 0.93, to 77.63 a barrel at 0638 GMT. Brent closed below 80 for the first time since Feb. 7, after falling more than 3 on Monday.

U.S. West Texas Intermediate crude futures eased 87 cents, or 1.17 to 73.35 a barrel. It had also settled near a fourmonth low on Monday after sliding 3.6.

The Organization of the Petroleum Exporting Countries and allies led by Russia, together known as OPEC, on Sunday agreed to extend most of their oil output cuts into 2025 but left room for voluntary cuts from eight members to be gradually unwound from October onward.

Oil prices have been facing a double whammy lately, with the supply story weighed by OPEC guidance to start unwinding some production cuts from October 2024, while demand conditions have not been wellsupported with weakerthanexpected US manufacturing activities, IG market strategist Yeap Jun Rong said in an email.

U.S. manufacturing activity slowed for a second straight month in May, with construction spending falling unexpectedly for a second month in April on declines in nonresidential activity both of which could translate into weaker oil and fuel demand.

With the 39;bad news is bad news39; mantra in place, further economic weakness presented may…