Crude oil rose above $101 per barrel on Wednesday, snapping a two-session losing streak after reports that the United States had urged several Persian Gulf states to prepare for a possible new military campaign against Iran following the midterm elections. Investors also closely monitored Israel’s election results, which could influence the trajectory of the broader Middle East conflict.
Exit polls indicated a tight race between Prime Minister Benjamin Netanyahu and opposition leader Gadi Eisenkot, with vote counting still underway. Throughout the campaign, Eisenkot positioned himself as a more moderate alternative to Netanyahu, arguing that Iran’s nuclear program must be contained—if necessary through military action—while characterizing regime change in Tehran as “not an achievable goal.”
At the same time, US crude inventories declined by roughly 2 million barrels in the week ending October 23, signaling tighter supply conditions in the oil market.
