NEW YORK (CNNMoney.com) -- Oil prices remained near their record high Thursday despite a government report showing an unexpected buildup in weekly gasoline supplies.

U.S. light crude for August delivery fell 5 cents to settle at $75.14 a barrel on the New York Mercantile Exchange.

The front-month crude contract is just a nickel off its all-time settlement high of $75.19 a barrel, which it hit Wednesday.

Oil prices fell as low as $74.30 a barrel earlier in the session Thursday after the Energy Information Administration's weekly stockpile report showed gasoline supplies increased by 700,000 barrels. Analysts were expecting a 1.9 million barrel decline in gas supplies, according to Reuters.

The build in gasoline was a surprise, but the gain was fairly modest, A.G. Edwards & Sons commodities analyst Bill O'Grady said.

The weekly inventory report also showed crude supplies fell by a larger-than-expected 2.4 million barrels. Analysts were looking for a drop of 1.9 million barrels. But oil inventories remain well above the upper end of the average range for this time of year, the EIA said.

Distillates, used to make heating oil and diesel fuel, rose by 1 million barrels, slightly below the 1.1 million gain analysts had forecast.

Oil prices have gained 19 percent so far this year, fueled by concerns over supply disruptions and ongoing tension surrounding Iran's nuclear program.

At the same time, demand has remained high, especially as the summer driving season has gotten underway in the United States.

The government's report showed gasoline demand over the last four weeks has risen 1.4 percent from the same period last year. But the increase in consumption is about normal, O' Grady said.

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