Oil prices fall for fourth day after US midterm results

Oil prices fell for a fourth consecutive session on Thursday, Nov. 5, after benchmarks plunged more than 8% on Wednesday to their lowest levels since August 31. Brent traded around $93.65-$93.82 a barrel and US WTI near $86.92-$86.98. Markets linked Republican midterm losses to higher odds that diplomacy ends the US-Israeli war with Iran. June Goh of Sparta Commodities said: "Markets are assessing the impact of the midterm elections on Donald Trump's next steps with the Iran war, pricing in a higher likelihood for the war to end." Two sources close to Gulf government circles said Trump has greater incentive to pursue a negotiated settlement. JPMorgan put the global surplus at 1.1 million bpd in September and 1.4 million in October, near last year's 1.3 million average. Hormuz shipments have returned near prewar levels at higher cost. The EIA said Wednesday US crude, gasoline and distillate stocks all fell and demand hit a one-year high. Citi warned Thursday that White House focus on executive authority could renew Iran escalation risk. Mukesh Sahdev of XAnalysts replied on whether prices stay low: "The short answer is no." He noted the new Congress takes office only in January. Eurasia Group said renewed escalation could push Brent to $110-$125. The path ahead remains uncertain.