Oil Loses Risk Premium.. Brent Below $100

Oil markets experienced a notable correction following a strong rally that pushed Brent crude above $113 per barrel in early November. Prices retreated to the $97–98 range per barrel during trading on November 6 and 7, driven by profit-taking and a reassessment of the risk premium that had previously pushed prices to elevated levels. According to trading data, Brent fell from around $113.43 on November 2 to $94.62 on November 5, a decline of approximately 16.6% over a short period, before partially recovering. Analysts view this correction as reflecting a repricing of risks and a reduction in some speculative positions, but it does not necessarily signal the end of pressures on energy markets, given the continued sensitivity of supplies to geopolitical developments or disruptions in shipping routes. Oil’s trajectory remains tied to supply-demand balances, inventory levels, producer stances, and political and security developments that could quickly reintroduce a risk premium to prices.