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Oil prices fall on stronger dollar as polls start closing in US election

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By Katya Golubkova
TOKYO (Reuters) -Oil prices fell on Wednesday as early poll results in the U.S. election showed Democrat Kamala Harris and Republican Donald Trump locked in a tight race for the presidency.

U.S. West Texas Intermediate (WTI) crude lost 27 cents, or 0.4%, to trade at $71.72 per barrel, and Brent crude oil futures lost 0.35 cents, or 0.46%, to trade at $75.18 per barrel at 0132 GMT.

Trump won eight states in Tuesday’s U.S. presidential election while Harris captured three states and Washington, D.C., Edison Research projected, but the outcome of the race remained uncertain with critical battleground states unlikely to be called for hours or even days.

U.S. stock futures and the dollar pushed higher in Asia on Wednesday as early results from the U.S. presidential election suggested the race remained too close to call, leaving investors jumping at shadows.

Oil appeared to be falling on the back of the rally in the U.S. dollar this morning, Warren Patterson, head of commodities strategy at ING, said.

“Oil will likely be vulnerable to broader moves in markets as we get more clarity on how the U.S. election plays out,” ING said in a separate note, adding that a Trump victory could provide short-term upside with the risk of stricter sanctions against Iran.

Meanwhile, if Harris wins, this would likely keep the status quo, ING’s note said.

(Reporting by Katya Golubkova; Editing by Christian Schmollinger and Jacqueline Wong)

Disclaimer: This report is auto generated from the Reuters news service. ThePrint holds no responsibilty for its content.

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