Brent crude slips beneath $85 a barrel because the greenback rises

An aerial view of the Phillips 66 oil refinery is seen in Linden, New Jersey, USA.

Tayfun Cosku | Anadolu Agency | Getty Images

Brent crude fell below $85 a barrel on Monday as recession fears and the US dollar surged.

Brent futures for November settlement were down over 1% at $84.92 as of 8am London time. West Texas Intermediate futures also fell to around $77.93.

The US dollar rose to a high not seen since 2002 on Monday, while sterling fell to a record low against the currency.

On Friday, both Brent and WTI futures were down around 5%, hitting their lowest levels since January.

It comes as central banks around the world – including the US and UK – continue to raise interest rates to fight inflation.

Meanwhile, fears of an economic slowdown continue to mount, with Steve Hanke, a professor of applied economics at Johns Hopkins University, putting the U.S. in recession at an 80% chance.

“If [the Fed] continue[s] quantitative tightening and the shift of that growth rate and M2 (money supply) into negative territory will be severe,” Hanke told CNBC’s Street Signs Asia on Friday.

This is breaking news and will be updated shortly.