Oil prices fall on concerns over interest rate hikes, strong dollar

Crude oil futures prices retreated on Thursday due to concerns over the possibility of further interest rate hikes and a strong U.S. dollar, Azernews reports citing Xinhua.

The West Texas Intermediate (WTI) for June delivery lost 0.97 U.S. dollars, or 1.33 percent, to settle at 71.86 dollars a barrel on the New York Mercantile Exchange. Brent crude for July delivery decreased by 1.10 dollars, or 1.43 percent, to settle at 75.86 dollars a barrel on the London ICE Futures Exchange.

Increasing probability of another rate hike by the Federal Reserve in June dampened market sentiment and oil demand prospects.

Good news for the economy is now bad news for the crude demand outlook as economic resilience will force the Fed to kill the economy, said Edward Moya, senior market analyst at OANDA, a supplier of online multi-asset trading services.