Oil Slumps for Third Day as Inflation Metric Hints at More Hikes

  • Prices paid to US producers rose more than expected last month
  • OPEC reduces Q4 demand forecast, EIA trims 2023 growth outlook
OPEC Trims Oil-Demand Outlook, Making Case for Its Supply Cut
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Oil flopped for a third day after a key US inflation metric beat estimates, piling onto worries that the US Federal Bank will continue interest rate hikes.

West Texas Intermediate futures settled at $87.27 a barrel on Wednesday as inflation reports compounded forecasts of lower crude demand. Prices paid to US producers rose more than expected last month, a worrisome sign for investors indicating that more rate hikes are likely ahead to slow down global growth.