Iran attacks keep pushing oil higher — ride the energy rally with Exxon and Chevron
Fresh attacks between the US and Iran are pushing oil prices higher. The Strait of Hormuz — a critical shipping route for global oil — has been effectively blocked for over three months, and experts say a prolonged conflict will keep supplies tight.
Idea
Every time fighting in the Middle East flares up, oil tends to jump because traders worry about supply disruptions. Right now the Strait of Hormuz — the chokepoint for roughly a fifth of the world's oil — has been blocked for three months and there's no ceasefire in sight. Energy experts are saying a prolonged war will squeeze supply even further. Meanwhile the broader stock market is selling off, which means money is rotating out of riskier sectors and into commodities and energy names that benefit from higher oil prices. Major oil companies like ExxonMobil and Chevron typically rally hard during these episodes, and with oil prices already climbing they have room to run if tensions escalate further.