Oil continues to slump on growing fears of a worldwide recession, pushing crude prices to their
longest losing streak in more than a year.
Worries that a global slowdown will hurt energy demand and consumption has led the price of
West Texas Intermediate (WTI) crude oil, the U.S. standard, to fall to $87 U.S. a barrel following
a drop of almost 6% over the last three days.
Brent crude oil, the international benchmark, is down 0.2% to $92.29 U.S. a barrel in London
trading today (October 13).
While prices for crude oil are not at the lowest level they have been at this year, four
consecutive days of losses would be the worst run for the commodity since August 2021.
Crude prices had rallied last week as the Organization of Petroleum Exporting Countries and its
allies (OPEC+) agreed to cut oil supplies by two million barrels a day starting in November.
However, energy traders have become increasingly concerned about the potential for a global
recession and slump in oil demand. Earlier this week, the International Monetary Fund (IMF)
and World Bank each raised the risks of a recession for the global economy.
Other issues impacting oil prices in recent days include a strengthening U.S. dollar, renewed
COVID-19 lockdowns in China, and turmoil in England’s bond market.
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