(Bloomberg) -- Oil slipped with equities after a recent rally that drove some commodities to record highs brought on concerns over inflation.Crude futures in New York traded above $64 a barrel after earlier falling to the lowest intraday level in a week. Meanwhile, gasoline futures also slipped as the Biden administration lifted some regulations governing the sale of gasoline in some states with the Colonial Pipeline system outage causing shortages. Colonial Pipeline Co. is working to restart its oil-products system, the largest in the U.S., after a cyberattack shuttered operations. From Virginia to Alabama, fuel shortages are already showing up at the pump and could temporarily drive the national price average higher, further stoking inflationary fears.“It is a risk-off day, across the markets, and oil is getting pulled lower. Inflation concerns are rocking the macro boat,” said John Kilduff, a partner at Again Capital LLC.U.S. crude oil prices are up a modest 1.1% so far this month with coronavirus-induced demand concerns, particularly in India, limiting rallies. Still, the Organization of Petroleum Exporting Countries on Tuesday lifted its forecast for the amount of crude it will need to produce and the group now sees a small decline in U.S. supplies this year, mostly due to the Texas freeze in February.Traders are expecting “a gradual resolution to the Colonial Pipeline shutdown,” according to Louise Dickson, an analyst at consultant Rystad Energy. “The market is again looking to Asia, Covid-19 cases, and the next signals for oil demand outlook.”Meanwhile, the knock on impact of the Colonial disruption is rippling through to everything from refining to shipping. Among processors, Total SE scaled back activity in a key unit at its Port Arthur, Texas, refinery, and Citgo Petroleum Corp. also cut rates at its Lake Charles, Louisiana, plant. There’s been a rush to book oil tankers as traders seek to redress the supply imbalance caused by the stoppage.“We are far from out of the out of the woods with the Colonial situation,” said Kilduff. “A scare among consumers is increasingly likely, where a run on gas stations may develop more broadly, especially if there is no resolution by the end of the week.”The U.S. East Coast has lost about 3.6 million barrels of gasoline supply due to the Colonial Pipeline disruption, with the region losing an additional 1.2 million barrels each day the outage continues, according to FGE.See also: India’s Oil Demand Spared 2020’s Collapse Despite CrisisIn the U.S., crude supplies are expected to have dropped last week, according to a Bloomberg survey. The industry-funded American Petroleum Institute will report its supply tally later Tuesday, while government data will be released on Wednesday.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.