WASHINGTON (dpa-AFX) - Crude oil futures settled lower on Wednesday amid concerns about outlook for energy demand due to a surge in Covid-19 cases in China and fears over a possible recession.
The dollar's continued strength amid expectations of a series of sharp interest rate hikes by the Federal Reserve weighed as well on oil prices.
The dollar index climbed to a new 20-year high at 107.26 before paring some gains. At 107.09, the index is up more than 0.5% from the previous close.
West Texas Intermediate crude oil futures for August ended lower by $0.97 or about 1% at $98.53 a barrel, the lowest settlement for a front-month contract in about three months.
Brent crude futures were down $2.22 or 2.16% at $100.55 a barrel a little while ago.
Oil prices moved higher earlier in the day as focus returned to tight supplies after a Russian court ordered the 'temporary closure' of the Novorossiysk oil terminal, which is key for exporting Kazakh oil, citing environmental concerns.
With U.S. job openings falling less than expected in May, the central bank is certain to continue with its policy tightening moves.
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