Brent declines as Trump rules out fresh attack on Iran

The front-month ICE Brent contract has fallen by $1.12/bbl on the day from Friday, to trade at $96.54/bbl at 09.00 GMT.

IMAGE: Crude oil pump jacks. Getty Images

Upward pressure:

Brent futures have gained some support from ongoing attacks on vessels in the Strait of Hormuz. Yemen-based Houthi rebels have claimed responsibility for Sunday's an attack on Saudi state-owned oil company Aramco’s building in Riyadh, Reuters reported.

Additionally, commercial crude stocks in the US fell by 865,000 bbls to 409.8 million bbls in the week ended 30 October, according to the US Energy Information Administration (EIA).

Downward pressure

Brent’s price has declined following recent remarks by US President Donald Trump.

On Sunday, Trump said that he was 'highly unlikely' to order fresh strikes on Iran, if talks to resolve the US-Iran conflict continues, Reuters reported.

Expectations of a possible de-escalation in the conflict have kept oil prices under pressure, following election losses for Trump's party.

“Vice President Vance attributed the Republican losses to the conflict with Iran, while Democrats Schumer and Jeffries pledged to end the war,” said ANZ Bank senior commodity strategist Daniel Hynes.

By Shilpa Sharma

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