Oil price drop: Chevron CEO warns ‘risks remain skewed towards upside’ as prices plummet | World | News

Chevron CEO Michael Wirth issued a fresh oil warning after the price of crude fell below $100 (£84.26) per barrel. Prices have dropped partially due to fears of a recession and while concerns around crude demand continue to rise.

Mr Wirth told CNBC’s Evolve Global Summit on Wednesday: “The tightness in supply hasn’t gone away.”

He added: “I think it’s great for the economy that prices have moderated, but I also see the risks remaining skewed towards the upside.”

Mr Wirth went on to highlight how recent weakness in oil has come as a result of high prices damaging demand.

He explained: “Now the real challenge for the globe, I think, is to see the investment in supply … as we come through whatever form of economic slowdown we see what the supplies are to support growth going forward.”

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Prices have taken a turn following Vladimir Putin’s invasion of Ukraine at the end of February.

West Texas Intermediate even traded at a post-2008 in March at $130 (£109.60) per barrel.

The change in prices is also thought to have enabled gasoline prices to hit $5 (£4.21) per gallon last month for the first time on record.

US inflation has also soared, reaching its highest level since 1981 to reach 9.1 percent in June.

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