Oil prices tumbled on Wednesday on news of a plan by U.S. President Joe Biden to cut fuel costs for drivers and amid concerns over a potential economic recession after recent central bank rate hikes, which also weighed on equities, Reuters reported.
Brent crude futures were down $4.62, or 4%, at $110.03 a barrel while U.S. West Texas Intermediate (WTI) futures fell $4.96, or 4.5%, to $104.56 by 1040 GMT.
Earlier in the session, both contracts had shed over $6 each to hit their lowest since May 19 and 12, respectively.
Biden on Wednesday is expected to ask Congress to consider a three-month suspension of the 18.4 cents per gallon federal tax on gasoline and call on states to suspend their fuel taxes, a senior administration official said.