# Strait of Hormuz still shut, Exxon sees $150 oil — load up on Exxon and Chevron

_AI-generated trading idea · LONG · CVX, USO, XOM_

> Canonical page: https://commonquant.ai/research/for-you/strait-of-hormuz-still-shut-exxon-sees-150-oil-load-up-on-ex--101b7327-9986-4871-9953-d57766edbcc5

The Strait of Hormuz — the narrow waterway that roughly one-fifth of the world's oil passes through — has been shut down since the Iran war began in February. Now Exxon is warning that global oil stockpiles will soon hit record lows, which could push prices to $150–160 per barrel.

## Idea

The Strait of Hormuz closure since February has been quietly draining the world's oil reserves. Exxon's own executive just said physical oil cargo prices could spike to $150–160 a barrel once inventories bottom out. Oil majors like Exxon and Chevron make more money on every barrel when prices rise, so their earnings could surge in the coming weeks. Even if a US-Iran ceasefire materializes, multiple reports suggest oil may stay elevated because the global supply chain has already been disrupted. This is a supply-driven squeeze — the kind that can send energy stocks sharply higher even when the broader market is already rallying.

## Key details

- Symbols: CVX, USO, XOM
- Timeframes: 1D
- Tags: \#oil, \#geopolitics, \#macro, \#energy

## Community

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## News sources

- [Strait of Hormuz shutdown: A visual guide to world's most critical oil chokepoint](https://www.cnbc.com/strait-of-hormuz-shutdown-a-visual-guide-to-worlds-key-oil-chokepoint/) — CNBC
- [Exxon warns oil inventories will hit dangerously low levels in weeks, forcing prices to shoot higher](https://www.cnbc.com/2026/05/28/oil-inventory-exxon-strait-hormuz-iran-war.html) — CNBC

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