Crude oil futures ended lower on Thursday, magnifying their previous session’s losses, as fears surged over a global economic slowdown that could dent oil demand. Cleveland Federal Reserve Bank President Loretta Mester said that the risks of recession have risen. She reiterated the central bank's resolve to continue with aggressive tightening until there is compelling evidence of a let up in inflation. However, oil prices rose early on in the session as the dollar weakened but failed to hold gains, weighed down by Wednesday's data that showed an unexpected surge in crude stockpiles in the US last week and the oil producer group OPEC+'s nod for a small increase in production.
Benchmark crude oil futures for September delivery fell $2.12 or 2.3 percent to settle at $88.54 a barrel on the New York Mercantile Exchange. Brent crude for October delivery dropped $$2.66 or 2.8 percent to settle at $94.12 a barrel on London's Intercontinental Exchange.