Oil prices drop as Democrats take Congress, raising questions on Iran war policy

Oil prices reversed earlier gains on Wednesday as investors assessed the impact of Democrats taking control of both chambers of Congress on President Donald Trump's approach to the war with Iran. Brent crude fell 1.26% to $102.2 a barrel, while WTI declined 0.68% to around $95.44. Democratic control may complicate Trump's Iran strategy, as Congress is likely reluctant to fund a costly military campaign. Qatar-led diplomatic efforts to end the conflict continue, but no breakthrough has been reached, leaving traders uncertain about regional energy supply recovery. Supply disruption risks around the Strait of Hormuz persist, with Iran reporting four tankers set on fire after hitting mines on Wednesday, following nearly 30 attacks on commercial ships last month.