Oil prices shed 5% as dollar strengthens

Oil prices lost 5% in European trade on track for the first loss in three days as the dollar climbs against a basket of major rivals. 

Prices are also pressured by global recession concerns, threatening more weakness in fuel demand. 

Global Prices

US crude tumbled 5.1% to $104.88 a barrel, while Brent swooned 4.5% to $108.85 a barrel. 

US crude rose 1.9% on Monday, while Brent added 2.2%, the second profit in a row on global supply shortage concerns. 

US Dollar

The dollar index rose over 1.2%% on Tuesday, the third session of profits in a row, marking a 20-year high at 106.42 against major rivals. 

A stronger dollar weighs on commodity prices as they become costlier to holders of other currencies. 

Global Recession 

More and more analysts predict a global recession this year as inflation grips the world and consumer demand tumbles, hurting oil prices.