WTI Crude Oil Slides Nearly 3%

11 Oct 2022 , 02:56 PM

Crude oil futures drop nearly 3% on Tuesday, as worsening recession fears are adding to demand woes, keeping the commodity under pressure. Strength in the dollar overseas is also dragging down oil prices. The dollar index that measures the greenback against a basket of currencies is seen riding high, close to its recent peaks of 114, amid hawkish signals from the Federal Reserve on interest rate hikes to curb soaring inflation. Meanwhile, benchmark treasury yields are also hovering near 4% mark lifting the dollar index higher. In the meantime, worlds second largest oil consumer, China, likely to go into yet another round of lockdown is adding to further demand concerns. Chinese authorities have stepped up testing in Shanghai and other megacities as Covid infections rise again, as well as extending quarantine times and closing some public spaces where the virus could spread. WTI crude oil futures are currently down 2.51% at $88.84 per barrel. Powered by Commodity Insights