DTN Oil Update
Oil Dips in Volatile Trade Amid US Election Jitters
SECAUCUS, N.J. (DTN) -- Crude oil futures fell again Tuesday, reversing early gains, as caution over the outcome of the U.S. midterm election offset fresh geopolitical tensions in the Gulf after a U.S. military strike on Iran's Qeshm Island.
Refined product prices, however, rebounded on concerns over tighter supplies.
With the ruling Republican party's majorities in the House of Representatives and Senate at stake, energy traders were rethinking their exposure to crude futures on concerns over post-election policy shifts, military developments and potential changes in foreign policy strategy regarding Iran, analysts said.
P[L1] D[0x0] M[300x250] OOP[F] ADUNIT[] T[]
By 9:04 a.m. EST, NYMEX WTI crude for December delivery fell $1.38, or 1.46%, to $95.08 bbl. The session high was $98.82.
ICE Brent for January delivery moved down $2.22, or 2.17%, to $102.55 bbl. It reached as high as $107.24 earlier in the day.
Market anxiety had spiked earlier in the session after reports indicated the U.S. carried out a targeted strike on Qeshm Island -- a strategic landmass situated directly in the Strait of Hormuz -- as part of ongoing limited military actions in the region.
Conflicting geopolitical cues persist around the Gulf as U.S. President Donald Trump indicated he did not plan a post-election strike. Meanwhile, Israel -- which joined Washington in an intensive bombing campaign of Iran earlier this year -- advocates for more decisive action against Tehran.
The latest U.S. attack, while muted, also raised questions about Iran's response in a war that seemed to be waning just a day ago after Iranian officials signaled willingness to reopen unhindered commercial transit through the Hormuz. That speculation had led to a 7% selloff in WTI and Brent Monday, Nov. 2, driving refined product prices down too.
In Tuesday's downstream trade on NYMEX, ULSD for December delivery climbed $0.0390, or 0.99%, to $4.4606 gallon. It peaked at $4.6010 during the session.
RBOB for December advanced $0.0095, or 0.35%, to $2.9096 gallon. The high for the morning was $2.9831.
The U.S. Dollar Index gained 0.066 points to 101.690 against a basket of currencies.
(c) Copyright 2026 DTN, LLC. All rights reserved.