US midterm sweep drops oil to $102, lifts European stocks

Back in November 2018, Democrats seized control of both US Congress chambers in a midterm landslide, triggering immediate market reactions. The dollar and oil prices fell Wednesday as traders digested the shift — Brent crude dropped 1.2% to $102.36 per barrel, West Texas Intermediate slipped 0.8% to $95.42. European markets rallied instead: London's FTSE 100 rose 1.2%, Paris's CAC 40 gained 1.5%, Frankfurt's DAX climbed 1.5%. Asian markets were mixed — Hong Kong up 1.7%, Shanghai up 2.2%, but Tokyo fell 1.4% on tech weakness.

For Nigeria, the oil price dip matters directly. At $102, Brent sits well above budget benchmarks but the downward move signals vulnerability to US political shifts. Eurozone inflation hit a three-year high at 4.0%, adding pressure on global rates. Meanwhile, BMW announced accelerated job cuts citing China demand slump, while Google committed $15 billion to Malaysia data centers over two years.

Analysts flagged uncertainty around Trump's "Mr Veto" stance and potential Democrat-led AI regulation as ongoing risks. Gold benefited as a safe haven. Bond yields steadied after recent volatility.

With Brent sliding below $103 on US political news, how should Nigeria's budget planners and oil-dependent businesses hedge against similar sentiment-driven swings?

SOURCE: https://www.channelstv.com/2026/11/04/oil-prices-drop-after-trumps-election-rout/