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Brent crude fell $1.83, or 1.6%, to $110.56 a barrel by 0953
GMT. U.S. West Texas Intermediate crude was at $107.7 a barrel,
down $2.07, or 1.9%. Both contracts have gained over 40% so far
this year.
The dollar hitting a fresh two-decade high made oil more
expensive for holders of other currencies. [MKTS/GLOB]
Global financial markets have been spooked by concerns over
interest rate hikes and recession worries as tighter and wider
COVID-19 lockdowns in China led to slower export growth in the
world's No. 2 economy in April.
In Russia, oil output rose in early May from April and
production has stabilised, Deputy Prime Minister Alexander Novak
was cited as saying, after output fell in April in the wake of
Western sanctions imposed over the Ukraine crisis.
Crude imports by China fell 4.8% in the first four months
compared with last year, but included a nearly 7% rise in April.
On the supply side, Saudi Arabia, world's top oil exporter,
lowered crude prices for Asia and Europe for June.
EU RUSSIA OIL EMBARGO
Last week, the European Commission proposed a phased embargo on
Russian oil, boosting Brent and WTI prices for the second
straight week. However, the proposal requires a unanimous vote
among EU members this week, which has yet to transpire.
The EU proposal was followed by a pledge by G7 nations on Sunday
to ban or phase out Russian oil imports. Washington also imposed
new sanctions.
Japan, part of G7 and one of the world's top five crude
importers, will ban Russian crude imports "in principle", Prime
Minister Fumio Kishida said, adding this would take time.
(Additional reporting by Florence Tan; editing by David Evans)
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