Oil surges on new Iran strikes near critical shipping route — load up on Exxon and Chevron
Fresh U.S. military strikes on Iran near the Strait of Hormuz — a narrow waterway that roughly one-fifth of the world's oil passes through — have sent oil prices sharply higher as traders worry about supply disruptions.
Idea
The Strait of Hormuz is a critical chokepoint for global oil, and every flare-up in the Iran conflict has historically pushed crude prices — and oil company stocks — higher. Exxon and Chevron are the simplest way for regular investors to bet on rising oil because they track crude prices closely and pay dividends that cushion any pullback. With the situation escalating rather than de-escalating, oil could keep climbing as long as the strikes continue. The bond market is already signaling inflation fears from higher energy costs, reinforcing the move.