Oil prices fell sharply in the last few days to settle around $87.40 a barrel as concerns about Egypt's political turmoil eased and investor focus returned to rising U.S. inventories and a tepid employment picture.

A new cabinet met in Egypt, easing investor fear that the unrest started in Tunisia could affect oil producer countries.

Today, the commodity is likely to drop further following the US Crude Oil Inventories figure, set to be released at 15:30 GMT. Typically, a surplus in US stockpiles means that the price of oil will go down, as it means that demand is down in the world's largest crude oil consuming country.