Oil prices experienced a decline during the early Asian trading session today, Monday, as concerns over global economic slowdown and the possibility of the Federal Reserve raising interest rates were met with expectations of supply reductions amidst announced cuts by OPEC+.
Last week, Federal Reserve Chairman Jerome Powell stated that further interest rate hikes would likely occur in the upcoming bank meetings.
Meanwhile, investment management company PIMCO stated that markets are overly optimistic about the central banks’ ability to avoid a recession while combating inflation in Europe and America, but it sees the opposite.
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