Oil prices tumble nearly 9% on hopes for an end to the war
Brent crude fell almost 9% to settle at $94.62 a barrel, its third straight daily drop, as traders bet the US election results would speed efforts to end the Iran war.
Oil prices fell sharply on Wednesday as traders bet that the outcome of the U.S. midterm elections would increase pressure on Washington to end the war with Iran.
Brent crude, the international benchmark, dropped almost 9% to settle at $94.62 a barrel, falling below $100 for the first time in about a month. U.S. crude fell more than 7%. It was the third day in a row of losses for oil.
The slide deepened after Vice President JD Vance wrote that the war was the reason Republicans lost the election. Analysts said the market saw the results as giving new life to indirect peace talks between the United States and Iran.
The war has disrupted shipping through the Strait of Hormuz, the narrow waterway that normally carries a large share of the world's oil, and has choked supplies of oil and liquefied natural gas from the Gulf. That has kept fuel prices high around the world.
Tight global stockpiles limited the size of the drop, analysts said. European natural gas prices also eased, while gold rose above $4,000 an ounce as the U.S. dollar weakened.
Lower oil prices could eventually bring some relief at the pump, though gasoline prices usually take time to follow crude. Any new disruption in the Gulf could quickly push prices back up.
This summary is original reporting by tehworldnews, written after checking the facts against several major international news outlets and official statements.