05:01 AM EDT, 10/23/2024 (MT Newswires) -- Crude oil prices eased early on Wednesday after U.S. crude inventories recorded a larger-than-expected increase, but losses were capped by conflict in the Middle East.

Brent crude lost 0.7% to US$75.53 per barrel and West Texas Intermediate crude fell 0.8% to US$71.19/b at last look. This comes after U.S. crude stocks reportedly rose 1.64 million barrels last week, Reuters said in a Wednesday report, citing market sources.

Official U.S. government oil inventory data is due on Wednesday.

Israel on Tuesday confirmed it had killed Hashem Safieddine, the heir apparent in the militant group Hezbollah, Reuters reported. U.S. Secretary of State Antony Blinken is also meeting with Israeli leaders in efforts to defuse the conflict.

"Market participants priced for the Middle East conflict to drag for longer, with a ceasefire deal potentially seeing some gridlock," Reuters quoted Yeap Jun Rong, market strategist at IG, as saying.