Asian and European markets as well as commodity prices were broadly down Thursday as the U.S. dollar advanced for a fifth straight session and another Federal Reserve official reportedly hinted at the possibility of more than one hike in interest rates this year.

Oil prices fell Thursday, after U.S. stockpiles reportedly rose for the sixth week, denting a two-month rally that saw crude oil prices climb nearly 50 percent since January this year.

European markets were trading lower Thursday, with France's CAC 40 down 1.74 percent while London's FTSE 100 was lower 1.2 percent. Germany's DAX was trading down 1.27 percent. The pan-European Stoxx 600 was down 1.19 percent.

In Asia, Taiwan's central bank cut its policy rate Thursday as widely expected, to support the country’s trade-reliant economy amid weak global growth. Taiwan’s benchmark stock exchange, the TWSE, fell 0.26 percent.

Chinese stocks saw a drop with the Shanghai Composite Index down 1.63 percent and the Shenzhen Composite lower 1.39 percent. The Nasdaq-style ChiNext index was down 1.74 percent.

Hong Kong's Hang Seng Index closed 1.31 percent down while Japan's Nikkei 225 was 0.64 percent lower. India’s benchmark S&P BSE Sensex was up 0.03 percent, while South Korea’s Kospi was down 0.46 percent.

"Oil is still the center of attention for many markets. As their prices fall, markets are turning risk-off. We also should expect some correction given the fast pace of recovery in various asset markets," Tohru Nishihama, senior economist at Dai-ichi Life Research Institute in Tokyo, told Reuters.

Futures for the U.S. crude benchmark, the West Texas Intermediate, dropped 1.94 percent to $39.02 a barrel, while Brent crude, the international benchmark, fell 1.32 percent to $39.73 a barrel in London.

In the U.S., stock futures on S&P 500, Dow Jones and Nasdaq were down 0.53 percent, 0.46 percent and 0.57 percent, respectively.