Fresh Covid-19 restrictions in China have also fuelled concern
Oil prices dropped on Thursday, as investors worried that aggressive interest rate hikes from global policymakers would slow economies and dent fuel demand, while renewed restrictions to curb Covid-19 in China also added pressure.
Recent signs of weakness in China’s economy and the country’s stronger pandemic restrictions also weighed on sentiment, he added. Southern Chinese tech hub Shenzhen tightened Covid-19 curbs as cases continued to mount, with large events and indoor entertainment suspended for three days in the city’s most populous district, Baoan.
Opec’s output hit 29.6-million barrels per day in the most recent month, according to a Reuters survey, while US output rose to 11.82-million bpd in June. Both are at their highest levels since April 2020.