Global Oil Prices Steady Amid US Election and Key Policy Meetings

The global oil market has remained steady despite the 2024 US presidential election, with prices for key crude benchmarks, West Texas Intermediate (WTI) and Brent crude, showing little movement.

WTI is currently trading at $71.83 per barrel, reflecting a small 0.36 percent change, while Brent crude stands at $75.48, with just a 0.40 percent fluctuation.

Market activity has been cautious, given a busy week that includes the US election, the Federal Reserve’s policy meeting, and China’s National People’s Congress (NPC) meeting, noted Yeap Jun Rong, a market strategist at IG.

Polls indicate a tight presidential race, and any delays or disputes over election results could bring immediate risks or prolonged market pressure, according to Yeap.

“Attention is also on China’s NPC meeting, where investors hope to see signs of fiscal stimulus that might boost demand. However, we’re unlikely to see major moves before the US election results, leaving oil prices in a short-term holding pattern,” he said.

Another factor supporting price stability is a balanced supply-demand outlook. OPEC members have largely stuck to their production targets, and slower global economic growth is keeping major shifts in oil demand at bay.

Traders are also monitoring the geopolitical landscape, particularly developments in the Middle East, for any shifts that could impact oil prices.

For now, oil markets remain calm, with investors taking a “wait-and-see” stance until US election results clarify future policy directions.

However, this market stability may be brief, as new policy actions and international events in the coming weeks could have a significant impact on oil prices.