Oil declines over 1% on demand concerns

Oil prices fell on Thursday amid concerns about global demand on commodities due to prospects of economic recession.

US GDP shrank 0.6% in the second quarter according the final reading, matching estimates and the preliminary reading, and adding to the 1.6% contraction in the first quarter.

It comes at a time of doubts about the US economy as the Federal Reserve continues to tighten monetary policies and hike rates by a fast rate. 

Recent official EIA data showed US crude stocks fell 200 thousand barrels to 430.6 million barrels, while analysts expected a buildup of 600 thousand barrels. 

US crude futures due in November fell 1.5%, or $1.27 to $80.8 a barrel. 

Brent November futures tumbled 1.2%, or $1.08 to $88.24 a barrel.