Oil supplies running dry after Hormuz shutdown — ride the energy squeeze with Exxon and Chevron
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 broke out in February. An Exxon executive is now warning that oil stockpiles will fall to dangerous lows within weeks, which could push prices to $150 or more per barrel.
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The Strait of Hormuz closure has choked off roughly 20% of the world's daily oil supply for months, and an Exxon executive now says inventories are on track to hit all-time lows within weeks — warning that physical oil cargoes could spike to $150–$160 per barrel. Even if a US-Iran ceasefire is reached soon, analysts say cheap oil is gone because years of under-investment in new drilling will keep supplies tight. Oil producers like Exxon and Chevron are the most direct beneficiaries: higher oil prices flow almost directly into their profits, and their share prices have historically moved in the same direction as oil during sustained supply crises.