Oil prices dipped slightly on Wednesday, November 4, 2026, as investors held off on major moves while awaiting the results of the US midterm elections. Brent futures dropped 26 US cents, or 0.25%, to US$103.34 a barrel, while US West Texas Intermediate crude futures fell 53 US cents, or 0.55%, to US$95.56. The uncertainty surrounding the elections and their potential impact on Middle East peace talks contributed to the cautious market sentiment.
The previous session had seen Brent prices ease more than 1% to their lowest level in nearly four weeks, as traders weighed ongoing talks to end the wars in Ukraine and Iran. Vote counting was underway in the US midterm elections, which could determine whether Trump’s Republican Party retains control of Congress for the rest of his second term.
Markets remained focused on any progress in talks to end the US-Israeli war with Iran, with Qatar stepping up mediation efforts to prevent further escalation. A senior Iranian official told Reuters on November 3 that Iran and the United States remain far from a deal to end their war. Meanwhile, the United States carried out “defensive” strikes on Iran’s Qeshm island, targeting surface-to-air missiles used against US assets, though officials noted the strikes were limited and did not signal a return to major combat operations.
US President Donald Trump told the Financial Times on November 3 that the United States had no immediate plans to strike Iran, stating, “We seem to be getting everything we want.” In the energy sector, crude stocks fell by 5.27 million barrels in the week ended October 30, according to market sources citing data from the American Petroleum Institute. This contrasted with analysts’ expectations of an average rise of about 880,000 barrels. Petrol stocks rose by 1.43 million barrels, while distillate inventories fell by 1.19 million barrels from a week earlier. Haitong Futures noted that diesel inventories remain tight, while petrol stocks rose more than expected, describing the data as broadly supportive of oil prices.