* Germany, France, Italy suspend use of AstraZeneca shot
* Move threatens EU's already slow vaccination campaign
* U.S. inventories seen rising in data releases this week
* U.S. refineries take time to recover from 'big freeze'
(Updates prices)
By Shadia Nasralla
LONDON, March 16 (Reuters) - Oil prices fell for a third day
on Tuesday, as a recovery in demand was threatened by rising
U.S. inventories and moves by Germany, France and some other
European states to suspend the use of a major coronavirus
vaccine.
Brent was down $1.11 cents, or 1.6%, at $67.77 a
barrel by 1325 GMT. U.S. crude fell $1.17, or 1.7%, at
$64.22.
Germany, France and Italy said they would suspend the use of
the Oxford/AstraZeneca vaccine after reports about
possible serious side effects, although the World Health
Organization said there was no established link to the vaccine.
The moves deepen concerns about the slow pace of
vaccinations in the European Union, threatening an economic
recovery and fuel demand.
The pandemic eviscerated demand for oil. Prices have
recovered to levels seen before the global health crisis, but
gains have been capped as vaccine rollouts have proceeded slowly
in many countries.
In the United States, crude inventories are also rising as
refineries have taken time to recover fully from a "big freeze"
that halted their operations in Texas and elsewhere.
"Short-term direction will be set by the weekly U.S.
inventory reports," PVM analysts said in a note, adding that the
dollar's strength against other currencies also weighed on the
oil price.
Analysts expect another week of inventory gains when the
American Petroleum Institute, an industry group, reports on
crude stockpiles on Tuesday, followed by official numbers from
the Department of Energy on Wednesday.
Inventories rose by 12.8 million barrels in the week to
March 5, against forecasts for a rise of less than 1 million
barrels.
(Additional reporting by Aaron Sheldrick; Editing by Susan
Fenton and Edmund Blair)
Astrazeneca (AZN)
