Oil Falls as Iran War Uncertainty Weighs on Markets After US Midterms

Oil prices fell on Wednesday in volatile trading as investors awaited Washington's next move in the US-Israeli war on Iran, following Democrats' capture of Congress from President Donald Trump's Republicans in the midterm elections. Brent futures dropped $1.75 to $101.85 a barrel, while US West Texas Intermediate fell $1.18 to $94.91. Trump acknowledged the war played a role in his party's sweeping defeat, as Democrats won control of both the House and Senate. Conflicting signals from the president, with military strikes continuing alongside statements downplaying escalation, made it difficult for traders to build strong directional conviction, according to analysts. Crude flows from the Middle East averaged 17.1 million barrels per day in October, down from 18.9 million in September but still about three-quarters of pre-war levels. US crude stocks fell by 5.27 million barrels last week, contrary to analyst expectations of a rise, with official data due later Wednesday.