Oil markets held steady as euro zone finance ministers approved a second bailout package for debt-ridden Greece.

Brent crude slipped by 1 cent to $120.04 a barrel, while US crude gained $1.69 to stand at $104.93.

Euro zone finance ministers struck a deal early yesterday to finance Greece with a €130bn rescue package, reports Reuters.

Oil markets were also supported by a cut in Iranian oil supply to China and Europe.

European countries have reduced oil purchase from Iran ahead of the 1 July embargo, even after the country halted exports to British and French companies.