Oil extends losses ahead of expected interest rate hikes

LONDON: Oil prices extended losses on Wednesday after plunging 5% in the previous session, as investors fretted about the health of the U.S. economy ahead of an expected Federal Reserve interest rate hike later in the day.

Brent futures fell $2.27, or 3%, to $73.05 a barrel by 1105 GMT, while West Texas Intermediate crude (WTI) fell $2.28, or 3.1%, to $69.38.
Both benchmarks closed at their lowest since late March in the previous session, when they also recorded their biggest one-day percentage declines since early January.

“The Federal Reserve is expected to deliver another quarter-point increase later today as part of its long-running battle against inflation,” PVM Oil analyst Stephen Brennock said.