Oil prices were lower in late trade on profit-taking after recent sustained gains amid concerns over tight US supplies and tensions over Iran's nuclear ambitions.
At 7am, the June New York light sweet crude contract for June delivery, the new benchmark contract, was at $73 a barrel, off 69 cents from its finish of $73.69 in New York overnight. During the New York session it hit $74.48.
At 7am, Brent North Sea crude was at $73.28 dollars after touching $74 in London trade yesterday.
Worries over a possible US-Iran conflict over Tehran's nuclear programme has been the main driver of prices in recent days.
Speculative hedge funds have also been putting upward pressure on prices. Dealers said concerns over US gasoline supplies, another factor pushing up prices this week, may have calmed a little as high prices pegged back demand ahead of the US summer driving season.
US gasoline inventories fell 5.4 million barrels last week, twice analysts' forecasts, sparking fears of a supply crunch.