Oil plunges 8% as US midterm results fuel Iran war hopes

Oil prices plunged over 8% after Democrats won control of both houses in the US midterm elections, raising hopes for a quicker end to the war in Iran. Brent crude settled below $95 per barrel, with further declines continuing in early trading. The election outcome could increase congressional scrutiny of the war and make funding more difficult, though new lawmakers do not take office until January. Analysts suggest the selloff may be overdone given ongoing uncertainty, with President Trump indicating no imminent plans to strike Iran. US crude inventories fell by 865,000 barrels last week, while distillate stocks dropped below 100 million barrels for the first time since 2003. European gas prices also declined over 3.8% on hopes for faster LNG recovery, though the market remains tight with EU storage at 74% full.