Oil rates decrease amid fears of high interest rates

(MENAFN) On Tuesday, oil rates decreased among worries that international central banks maintain interest rates at increased levels for an expanded time, which caused a drop in international oil request.

International main crude Brent exchanged at USD90.81 a barrel at 10.15 AM regional time (0715 GMT), marking a 2.66 percent fall from the closing price of USD93.29 per barrel in Monday’s exchange session.

The American benchmark West Texas Intermediate (WTI) exchanged simultaneously at USD88.62 a barrel, a 1.18 percent drop from the closing price of USD89.68 a barrel on Monday.

Oil rates have been stressed because of worries that banks are going to maintain high interest rates.

Officials of the US Federal Reserve (Fed) have indicated that interest rates would stay high for a longer period of time than anticipated.

"If the economy is fundamentally much stronger than we realized, on the margin, that would tell me rates probably have to go a little bit higher, and then be held higher for longer to cool things off," Minneapolis Fed Leader Neel Kashkari stated on Monday.


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