Oil prices fell for a fourth day on Thursday as geopolitical tensions eased. Brent futures dropped to $93.65 a barrel, while US crude reached $86.98. Meanwhile, gold held its biggest rally since August. The weaker dollar and lower Treasury yields helped precious metals gain ground after the recent US midterm elections.
Commodity markets traded mixed on November 5, with oil prices falling for a fourth consecutive session amid hopes of easing geopolitical tensions and gold held on to its biggest rally since August, supported by a weaker dollar and lower US Treasury yields. Oil prices fell for a fourth day on Thursday on expectations the losses US President Donald Trump's Republican Party suffered in Congressional elections this week may reduce the risk of further escalation of the US-Israeli war on Iran. Brent futures fell 97 cents, or 1.03% at $93.65 a barrel, while US West Texas Intermediate crude futures were down $1.14, or 1.29%, to $86.98.
Both benchmarks tumbled by more than 8% in the previous session to settle at their lowest since August 31. Gold held the biggest surge since August after a Democratic sweep of Congress in US midterm elections sent the dollar and Treasury yields lower, boosting its appeal. Bullion was trading around $4,070 an ounce, after jumping 3.3% the previous session. Among other precious metals. silver was 0.3% higher at $52.36 an ounce after gaining almost 5% on Wednesday. Platinum and palladium also advanced. The dollar edged lower on Thursday in the aftermath of an overwhelming victory by Democrats in US midterm elections that cleared a major source of uncertainty and fuelled a rally in global equities.
The dollar index, which measures the greenback against a basket of currencies, fell 0.06% to 101.41, after a 0.36% decline in the prior session. The euro was up 0.12% at $1.1241.