# Oil hits $105.84 as prices fall sharply

> Crude drops $4.61 in a day but remains 63% higher than a year ago, driven by supply, demand and geopolitical shocks.
- Title: Oil hits $105.84 as prices fall sharply · Fortune | Shortify
- Summary: Crude drops $4.61 in a day but remains 63% higher than a year ago, driven by supply, demand and geopolitical shocks. Oil fell to $105.84 per barrel on…
- Keywords: oil prices, brent crude, energy markets, supply and demand, geopolitics, gas prices, strategic petroleum reserve, Fortune
- Source: Fortune — https://fortune.com/article/price-of-oil-11-04-2026
- Author: Joseph Hostetler
- Read time: 2 min
- Topics: oil prices, brent crude, energy markets, supply and demand, geopolitics, gas prices, strategic petroleum reserve
## Oil falls sharply overnight
At seven a.m. Eastern Time on November 4, 2026, Brent crude oil sits at one hundred five dollars eighty-four per barrel. This marks a drop of four dollars sixty-one since yesterday morning.
## But prices remain far higher year-on-year
Oil is forty-one dollars more expensive than it was at this time last year, when Brent crude cost sixty-four dollars eighty-four per barrel. That represents a sixty-three percent increase.
## Supply and demand drive the market
Nobody can predict oil prices with certainty. Supply and demand remain the main drivers of how oil trades. Fears of economic slowdown, conflict or similar shocks can move prices sharply.
## Crude is the biggest part of pump prices
Crude oil typically represents over half of each gallon's cost at the gas pump. Refining, distribution, taxes and station margins make up the rest. Oil spikes push gas prices up quickly.
## Gas prices fall slower than they rise
When oil prices decline, gas prices often ease down gradually, a behaviour known as rockets and feathers. This asymmetry means pump prices lag behind crude oil drops.

> rockets and feathers
## The Strategic Petroleum Reserve backstops supply
The U.S. maintains a stockpile of crude oil called the Strategic Petroleum Reserve. It safeguards energy security during emergencies like sanctions, storms or war, and eases sudden price spikes.
## Oil and gas prices move together
Oil and natural gas are both major energy sources. When oil prices rise, some industries may swap to natural gas where possible, increasing demand for it and pushing its price up.
## Brent is the global benchmark
Oil prices are measured by two benchmarks: Brent crude oil, the main global benchmark, and West Texas Intermediate, the main North American benchmark. Brent better represents global performance.
## History shows oil's extreme volatility
Oil has experienced spikes from wars and supply cuts, and crashes from recessions and oversupply.The early nineteen seventies brought the first big shock when the Middle East cut exports during the Yom Kippur War.
## Key takeaway

Oil fell to $105.84 per barrel on November 4, 2026, down $4.61 from yesterday but up 63% year-on-year, reflecting volatile markets shaped by supply, demand and geopolitical events.