Trump Says No Attack on Iran Before Nov. 3 Midterms

China Resumes Gasoline and Diesel Exports

Hopes Rise for Stable Energy Prices

International oil prices retreated after a sharp rally as President Donald Trump said the U.S. would not attack Iran before the Nov. 3 midterm elections. China's move to resume fuel exports that were briefly halted earlier this month also weighed on prices.

Trump wrote on social media on Oct. 8 that the blockade on Iran would remain fully in place. He added that the U.S. would not attack Iran at any point before the Nov. 3 midterms.

Oil, which had surged more than 5% earlier in the session, gave back part of its gains. Brent crude futures, the global benchmark, climbed as much as 5.7% from the previous close to $105.91 a barrel in early trading. The jump reflected concerns that crude supplies could be disrupted by a renewed U.S. military operation against Iran and escalating attacks on tankers in the Middle East. After Trump's post appeared, Brent settled at $104.28 a barrel and fell to around $103 the following day.

Reuters reported that China approved exports of 3.7 million tons of gasoline, diesel and jet fuel for October that same day. The approval resumed after being suspended during the National Day holiday earlier this month. Chinese authorities have recently tightened oversight by reviewing export volumes on a monthly basis. Reuters said the resumption could help stabilize supply in the tight global refined-fuel market.

Son Ju-hyung, Hankyung.com reporter handbro@hankyung.com