Oil prices retreated on Thursday amid the economic slowdown and global recession fears to ease pressure on oil demand.
International benchmark Brent crude was trading at $106.42 per barrel at 0606 GMT for a 1.01% decrease after closing the previous session at $107.51 a barrel.
American benchmark West Texas Intermediate (WTI) was at $104.62 per barrel at the same time for a 1.03% drop after the previous session closed at $105.71 a barrel.
Inflation data from around the world showed new highs this week.
Annual consumer inflation in the US rose 8.3% in April, according to the Department of Labor on Wednesday. In a speech after the data release, US President Joe Biden said that inflation in the country is 'unacceptably high.'
Although the Fed's monetary tightening aims to relieve inflationary pressures, it has caused fears of a recession.
Reports on Tuesday confirmed that the annual inflation in Greece rose to 10.2% in April from 8.9% in March, the first double-digit rate in 27 years. The annual inflation rate in Denmark reached its highest level since 1984, reaching 6.7% in April due to rising energy and food prices.
Reports on Wednesday showed that Germany's inflation hit an all-time high for the second consecutive month in April at 7.4%. The annual inflation rate in China rose to 2.1% in April, exceeding the market expectation of a 1.8% rise and marking the highest level since last November.
Inflation in Portugal spiked to 7.2% in April, the highest level since March 1993.
On a global scale, while price rises are expected to ease in developed countries, which are slowly recovering from the deep economic recession caused by the COVID-19 pandemic, inflation is forecast to rise from increased energy, food and commodity prices due to the Ukraine-Russia war.
Additionally, ongoing COVID-19 lockdowns in China, the world's top crude importer, continues to weigh on oil prices as demand for fuel drops.
By Zeynep Beyza Kilic