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EMEA Oil Update: Brent Eases as Trump Predicts Post-Election Oil Slump

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Oil futures pulled back slightly on Thursday as traders weighed persistent US-Iran supply risks against President Donald Trump's prediction of post-election price drops.

Brent futures fell 0.5% to $100.72 per barrel, while Dubai 1st Line (Platts) energy futures fell 0.4% to $91.60/bbl.

Analysts at ING noted that prices had recently climbed past the $100 threshold due to elusive prospects for US-Iran de-escalation, which have severely rattled energy security.

The modest correction follows a strong upward run driven by intensifying geopolitical friction.

The underlying supply anxiety has been exacerbated by recent US military strikes on Iranian tankers near Kharg Island and retaliatory warnings from Tehran.

However, Saxo Bank analysts pointed to reports that China is poised to resume crude purchases this month.

Meanwhile, addressing the political fallout of high energy costs during a press gaggle at Joint Base Andrews, US President Donald Trump stated that crude prices above $100 could persist through the upcoming midterm elections.

"...right after the election, oil prices are going to be tumbling downward", Trump said, adding, "I think for gasoline we'll get them below $2 a gallon."

On the inventory front, data released Wednesday by the American Petroleum Institute indicated that US crude oil inventories fell by 300,000 barrels for the week ending September 4, extending a 2.6-million-barrel draw from the previous week.

The market is now closely eyeing the official US Energy Information Administration petroleum inventory report to gauge domestic supply resilience.

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