Crude oil prices fell on Thursday after central banks in the United States (US) and Europe signaled caution on monetary easing, fueling concerns that weak economic activity could hurt oil demand next year.
Meanwhile, Brent crude futures fell 51 cents (0.7%) to close at $72.88 a barrel. Meanwhile, US West Texas Intermediate crude for January delivery fell 67 cents (1%) to $69.91 a barrel.
In addition, the Federal Reserve (Fed) cut rates by a quarter of a percentage point as expected and Jerome Powell warned that stubborn inflation will make the US central bank more cautious about cutting rates next year.
The US dollar rose to a two-year high, making oil more expensive for buyers holding other currencies.
Energy transition measures have also hit demand sharply in China, a major oil importer.
State-backed energy giant Sinopec said on Thursday it expects China's petroleum consumption to peak in 2027 as fuel demand weakens.
Oil supplies could tighten next year if Trump, a Republican, is keen to fulfill a campaign promise to crack down on Iranian oil exports.
