Crude Brent Oil fell 1% toward $107 per barrel on Friday and were on track to lose about 4% this week, weighed down by the prospect of higher interest rates, weaker global growth and slower demand from top importer China.
Even as the EU considered a ban on Russian oil. Concerns about the Ukraine conflict fanning inflation and denting economic growth dominated trading in the second half of the week, with the IMF slashing its global growth forecast by nearly a full percentage point.
Federal Reserve chair Jerome Powell on Thursday indicated more aggressive rate hikes ahead to control inflation, dragging risk sentiment.
In China, central bank governor Yi Gang said Friday that the country was not immune to external shocks and faced pressure from Covid outbreaks.
Meanwhile, volatility is expected to continue with oil markets remaining tight as major producers struggle to meet output targets, while the threat of an EU ban on Russian oil looms.