Oil slips more than 2% on as recession fears spreads to financial markets

LONDON (Reuters) -Oil prices dropped more than 2% on Thursday in a volatile week as recession fears dogged global financial markets, outweighing supply concerns and geopolitical tensions in Europe.

Brent crude was down $2.26, or 2.1%, to $105.25 a barrel at 0903 GMT. WTI crude fell $2.45, or 2.3%, to $103.26 a barrel.

Oil prices are under pressure this week, along with global financial markets, amid jitters over rising interest rates, the strongest U.S. dollar in two decades, concerns over inflation and possible recession.

Prolonged COVID-19 lockdowns in the world’s top crude importer, China, have also impacted the market.