Oil Prices Decline Amid Economic Concerns

Oil prices experienced a significant drop of more than 1% on Wednesday, as investor anxiety over a potential recession intensified. This comes in the wake of recent reports indicating a sharp decline in consumer confidence in the United States, reaching its lowest point since the onset of the COVID-19 pandemic. Additionally, the number of job openings posted by employers in March fell short of expectations, further fueling economic worries.

US Oil Inventories Add to Market Pressures

Compounding the market's concerns, US oil inventories reportedly surged by 3.76 million barrels in the week ending April 25. This unexpected increase has sparked fears of an oversupply, putting additional downward pressure on oil prices.

Price Movements

At 5:25 am ET, West Texas Intermediate (WTI) for June deliveries fell by 1.29%, trading at $59.64 per barrel. Similarly, Brent crude for the same month's settlements decreased by 1.37%, selling for $63.35 per barrel at 5:26 am ET.