Crude oil falls below $90.50 after Trump rules out striking Iran before election
Trump says the no-strike pledge holds through November 3 but leaves the blockade on Iran in full force.
Published
Chart: USO, a fund that tracks crude, one-minute prices, three sessions
Crude oil fell below $90.50 after Trump said the United States will not strike Iran before the November 3 election.
Trump said the blockade on Iran will stay in full force even with the no-strike assurance in place. Oil closed below the day's highs rather than at them when the statement was first reported, a sign traders were not fully convinced the de-escalation would hold.
The Pentagon continues drafting three-day strike plans on Iran even as Trump extends the no-attack pledge through the midterms, and he has already rejected five other strike operation proposals. Barak Ravid has noted that Trump publicly denied a decision to strike Iran's nuclear sites last year before ultimately ordering the strike, a precedent that leaves room for the current timeline to shift without warning.
The pledge hardens a midterm timeline Trump first floated weeks ago and pairs it with an explicit assurance that has pushed oil's geopolitical premium lower for now. But the gap between Pentagon preparation and any actual order remains the variable that could reverse the move, leaving the drop below $90.50 more fragile than it looks.