Oil Prices Plunge 5% Despite Drop in U.S. Crude Supplies as Demand Concerns Grow

Oil prices fell over 5% despite a decline in U.S. crude inventories, the largest percentage drop since September 2022.

Gasoline demand is down as average gas prices remain high at $3.79/gallon.

Falling demand raises concerns of slower economic growth, also fueled by rising interest rates.

Energy stocks dropped sharply, with the S&P 500 Energy Sector down over 3% and Chevron down 2.3%.

The drops in oil prices and energy stocks come even as latest data shows falling gasoline storage, indicating less demand.