Crude Oil Prices Fall Sharply as Recession Fears Grow
Summary from the AllSides News Team
The U.S. WTI benchmark for crude oil prices fell over 9.5% to $98.05 per barrel on Tuesday.
While the drop in oil prices could spur a decline in U.S. gas prices, analysts in several outlets tied falling oil prices to an anticipated drop in demand and a potential approaching recession. Meanwhile, average U.S. gas prices fell to $4.80 per gallon from $4.88 a week earlier. Oil price predictions varied on Tuesday; CitiBank said oil prices could fall as low as $65 per barrel by 2023, and JPMorgan Chase analysts warned that Russian cuts to oil exports could spike prices to $380 per barrel.
The international Brent crude benchmark also fell over 10% to $101.48. While OPEC+ said it would produce over 50% more oil in July and August, Saudi Arabia hiked prices on oil exports to Asian countries on Tuesday amid rising demand.
Coverage was widespread and mostly balanced across the spectrum, particularly in business-focused outlets. Most coverage tied oil prices to the stock market and attributed Tuesday's price decline to recession fears.
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From the Left
Oil prices, stocks fall sharply as recession worries grow
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From the Right
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