Oil was trading lower again Wednesday with new government data showing that US light crude oil supplies increased last week, a sign that demand remains weak.

Benchmark crude for October delivery slipped 62 cents to settle at $71.43 a barrel in trading on the New York Mercantile Exchange. In London, Brent crude fell 17 cents to settle at $71.65.

The Energy Department reported Wednesday that US crude stockpiles rose by 200,000 barrels for the week ending Aug. 21. The same report a week ago showed a large and unexpected draw on oil, which sent prices soaring.

The price for a barrel of oil briefly touched $75 on Tuesday before falling 3 percent for the day, a common occurrence in the volatile energy markets of late.

"Yesterday's surprising sell-off could end up being a one-time curiosity or the start of a rejection of prices that most analysts feel are far too high, given existing supply and demand factors," the energy consultancy Cameron Hanover said in a note to clients Wednesday.

For consumers, it may be anyone's guess where gasoline prices are going to go heading into next year, but heating bills for those who use natural gas could be a bargain. Natural gas futures continue to trade near seven year lows.