Oil Prices Slide as Fed Signals Longer High Rate Environment

Oil prices dropped by more than $1 on Tuesday as concerns over prolonged high U.S. interest rates, driven by persistent inflation, led to fears of weakened consumer and industrial demand. Brent crude fell to $82.17 a barrel, and U.S. West Texas Intermediate (WTI) slipped to $78.31 for June. The more active July contract also decreased. The decline follows statements from Federal Reserve officials indicating that more signs of slowing inflation are needed before considering rate cuts.