Crude oil futures ended lower on Thursday, magnifying their previous session’s losses, on rising concerns about the outlook for energy demand due to worries about a recession and on reports showing a surge in Covid-19 cases in China. Further, oil prices dropped on worries that aggressive rate hikes by major central banks may lead to a global economic slowdown and dent fuel demand. Besides, the dollar’s sharp uptick on rate hike concerns also hurt oil prices. The dollar index rose to a fresh 20-year high at $109.98 before paring some gains.
Benchmark crude oil futures for October delivery fell $2.94 or about 3.3 percent to settle at $86.61 a barrel on the New York Mercantile Exchange. Brent crude for November delivery dropped $2.78 or 2.92 percent to settle at $92.36 a barrel on London's Intercontinental Exchange.