Oil prices drop amid demand worries, dollar strength
Aug 16, 2022
New York [US], August 16: Oil prices fell on Monday amid renewed fears that a slowing global economy would hurt energy demand.
The West Texas Intermediate for September delivery lost 2.68 U.S. dollars, or 2.9 percent, to settle at 89.41 dollars a barrel on the New York Mercantile Exchange. Brent crude for October delivery decreased 3.05 dollars, or 3.1 percent, to close at 95.1 dollars a barrel on the London ICE Futures Exchange.
Also weighing on oil was a jump in the U.S. dollar. The dollar index, which measures the greenback against six major peers, rose 0.87 percent to 106.5450 in late trading on Monday. Historically, the price of oil is inversely related to the price of the U.S. dollar.
For the week ending Friday, the U.S. crude standard climbed 3.5 percent, while Brent advanced 3.4 percent, based on the front-month contracts.
Source: Xinhua
