Oil prices falls on oversupply worries

Despite Iran sanctions, oil prices fell for the third week on Friday amid oversupply warning from Saudi Arabia.

Brent crude oil was down 70 cents at $76.19 per barrel by 0740 GMT, on course for a weekly loss of more than 4 percent. It has fallen by close to $10 in the last three weeks.

U.S. crude was 70 cents lower at $66.63, set for a 3.5 percent loss this week.

A global collapse in equities has roiled oil markets this week as Wall Street had its biggest daily decline since 2011, wiping out all of this year's previous gains.

Financial markets have been hit hard by a range of worries, including the U.S.-China trade war, a rout in emerging market currencies, rising borrowing costs and bond yields, and economic concerns in Italy.

After many months of concern about shortage of supply ahead of U.S. sanctions on Iran, due to begin on Nov. 4, the oil market is beginning to be concerned about possible oversupply and inventories that are rising in many parts of the world.

Saudi Arabia's OPEC governor said on Thursday oil markets could face oversupply by the end of the year.

Many buyers, including Iran's biggest customer, China, appear to be falling in line, forcing Tehran to store unsold oil on tankers in the hope it can sell the crude once sanctions are lifted.