Oil prices plummet by 4% to a 3-month low amidst financial crisis fear

The international oil market suffered its largest daily declines since early January this year, with Brent futures dropping 4.1% to settle at $77.45/barrel, and WTI plunging 4.6% to close at $71.33/barrel. The dives stemmed from the fallout of two US banks that spurred a wave of fear of a banking system meltdown.

Besides, US Consumer Price Index increased steadily in February, indicating inflation remained high. All eyes are on the FED’s next interest rate meeting, with expectations that the market might have to face at least one more rate hike.