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Brent crude was on track for a weekly loss of more than 16%, its steepest percentage decline since the start of the Covid-19 pandemic, after falling 0.2% on Friday to $98.08 a barrel. West Texas Intermediate rose 0.5% to $90.96, but was still heading for a weekly loss of more than 12%. The moves came as investors weighed the impact of the Democrats’ victory and their control of both chambers of Congress, as well as the possibility that they would pressure President Donald Trump to secure a de-escalation of the war with Iran. An end to the conflict could allow shipping lanes to reopen, but continued attacks and navigational risks in the Strait of Hormuz—which carried about a fifth of global oil and liquefied natural gas supplies before the war—remain a source of concern for markets.
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