London, 4 November, . Brent crude fell below 100 dollars a barrel for the first time in a month, losing 4.73% to 98.70 dollars by 16:15 GMT, the Anadolu agency reports.
US WTI fell 4.43% to 91.85 dollars, its lowest in about three weeks; European gas on the TTF index fell 4.59% to 87.40 euros per megawatt-hour. Prices have fallen for a third session in a row amid diplomatic efforts by Qatar and Pakistan to settle the conflict between the US and Iran and after the Democrats’ win in the US midterm elections, which gave them control of Congress. Qatar’s foreign ministry spokesman Majed al-Ansari called the readiness of Washington and Tehran to continue talks “a glimmer of hope”, though there is no breakthrough yet.
What it means: The market is pricing in a possible easing of the conflict around Iran, and oil is getting cheaper faster than gas.
Who benefits: Oil and gas importing countries; for Kazakhstan, whose revenues depend on exports of CPC Blend and KEBCO, a lower price means less foreign-currency income if it holds.
Background: Gas storage in Europe is less than 75% full, in Germany about 61% against a 70% target.
