Brent bounces above $101/bbl as focus returns to supplies

Brent bounces above $101/bbl as focus returns to supplies

Oil prices regained a footing on Thursday from steep falls in the previous two sessions, as investors returned their focus to tight supplies even as fears persisted over the demand outlook amid risks of a global recession.

Brent crude futures rose 67 cents, or 0.7%, to $101.36 a barrel by 0402 GMT after tumbling more than $2 to a session low of $98.50 earlier. WTI crude futures climbed 59 cents, or 0.6%, to $99.12 a barrel, bouncing from an intraday low of $96.57.

Oil prices have slid alongside other commodities such as metals and palm oil as central banks across the world raised interest rates over the past few months to battle inflation, fanning fears of recession and a hit to demand for commodities.

Brent and WTI closed on Wednesday at their lowest since April 11. The declines follow a dramatic fall on Tuesday despite tight global supplies. WTI slid 8% while Brent tumbled 9% - a $10.73 drop that was the third biggest for the contract since it started trading in 1988.