Oil Rally Stalls as Recession Fears Curb OPEC-Driven Momentum
- Prospect of Fed hikes ends run of gains spurred by OPEC+ cuts
- WTI futures settled near $91 after rising 17% last week
A worker drills for oil on the land in Andrews, Texas.
Photographer: Jordan Vonderhaar/BloombergThis article is for subscribers only.
Oil markets slipped as concerns of slowing demand again came to the fore, adding resistance to a rally spurred by OPEC+’s output cut.
West Texas Intermediate settled at $91 a barrel, ending a five-day run of gains in which futures climbed 17%. A tighter supply outlook following last week’s OPEC+ meeting gave crude its biggest weekly gain since March, but fears the US Federal Reserve will go on boosting rates to quell inflation caused equity markets to decline and the dollar to strengthen, making commodities that are priced in the currency less appealing.