New York August 30 2022: Oil prices fell about $7 a barrel on Tuesday on fears that an inflation-induced weakening of global economies would soften fuel demand and as unrest in Iraq has not put a dent in the OPEC nation’s crude exports.
Brent crude futures for October settlement were down $7.27 or 6.92%, at $97.82 a barrel by 12:30 a.m. ET (1630 GMT).
U.S. West Texas Intermediate crude dropped by $6.25, or 6.44%, to $90.76.
Inflation is near double-digit territory in many of the world’s biggest economies. This could prompt central banks in the United States and Europe to resort to more aggressive interest rate increases, which could slow economic growth and weigh on fuel demand.
