Oil prices fell 6% to a four-week low on Friday, owing to concerns that major central banks' interest rate hikes will slow the global economy and reduce demand for energy.

Also putting downward pressure on prices, the US dollar surged to its highest level against a basket of currencies this week, making oil more expensive for buyers using foreign currencies.

Brent crude futures sank USD6.69, or 5.6 percent, to USD113.12 a barrel, while WTI crude in the United States fell USD8.03, or 6.8%, to USD109.56 a barrel.

Brent closed at its lowest level since May 20 and WTI at its lowest level since May 12. Brent's daily percentage loss was the most since early May, while WTI's was the largest since late March.

Brent futures fell for the first time in five weeks this week, while WTI fell for the first time in eight weeks. Global central bankers, who eased monetary policy fast to avert a recession during the pandemic, are now tightening to combat inflation.

The Federal Reserve raised interest rates in the United States for the first time in more than a quarter-century this week.

Petrol, diesel production sufficient to meet demand surge: Govt

US Dollar Vs Indian Rupee Rate Today

Govt tightens norm for crude edible oils import at nil duty