Oil Falls After Trump Questions Integrity of Election

Oil turned down Wednesday, November 4th, after the US President questioned the integrity of the elections, despite millions of votes not being counted, and the final results are not expected to be announced before several days.

US West Texas Intermediate crude fell 15 cents, equivalent to 0.4%, to $ 37.51 a barrel by 07:55 GMT, after the price fluctuated up for most of the session in Asia. Brent crude fell 8 cents, equivalent to 0.2%, to $ 39.63 after trading between $ 39.85 and $ 40.80.

Trump announced his victory over his Democratic opponent, Joe Biden, who expressed his confidence in winning the race, whose results will not appear until the counting of votes in several states and which may take hours or days.

Oil prices dropped more than 10% last week as coronavirus cases increased and more restrictions were imposed on movement, which hurt the demand prospects. Oil prices nearly offset those losses in three-day gains this week before the election.

Earlier, prices were supported by the American Petroleum Institute data on Tuesday, which showed a sharp drop in stocks last week, while gasoline stocks increased.

And US crude stocks fell by eight million barrels last week, to about 487 million barrels, according to the institute.

OPEC and its allies led by Russia, within the framework of the OPEC+ group, are set to reduce the volume of cuts of 7.7 million barrels per day by about two million barrels per day, starting from January.

Sources said that OPEC and Russia are considering deepening oil cuts next year to support prices.