Crude erases war-driven gains as recession fears hammer markets

Oil dropped to levels not seen since before Russia’s invasion of Ukraine as record US inflation and disappointing earnings from Wall Street intensified fears of a recession.

The global crude benchmark fell as much as 5.1% to trade under $95 a barrel, touching its lowest level since late February. Crude has been in decline since early June on escalating fears the US may be pushed into a recession. Shortly after the war began, Brent futures skyrocketed to above $139 as Russia’s war in Ukraine disrupted an already tight supply-demand balance.