CRUDE WRAP: WTI (Z6) SETTLES USD 2.40 HIGHER AT 90.52/BBL; BRENT (F7) SETTLES USD 3.67 HIGHER AT USD 98.29/BBL

The crude complex settled firmer on Thursday, paring some of the sharp downside seen on Wednesday. Crude remains notably lower on the week given the reduced likelihood of a prolonged US/Iran war following the Democratic sweep in the midterms. However, some reports suggest further military action from US President Trump cannot be ruled out. The crude complex saw gains in the early part of the US session as N12 reported that senior US officials see a high probability of war with Iran. It is worth noting that this came from an Israeli news source, while commentary from the US side has been more constructive this week. Nonetheless, CNN reported that the risk of renewed war with Iran has eased following the Republicans' midterm defeat, although escalation remains probable, according to a regional source. Meanwhile, the NYT reported that Iran is reviewing concrete proposals regarding its nuclear programme, although this was later disputed by Iranian analyst Mohammad Ghaderi. Further upside was seen on reports from IRIB, citing the IRGC, that two more oil tankers had struck naval mines east of the Strait of Hormuz and caught fire, following reports that another two tankers had hit mines in the Strait overnight.