Oil surges on U.S. strikes near the Strait of Hormuz — load up on energy names
The U.S. just carried out airstrikes on Iranian military targets near the Strait of Hormuz for the second time this week, pushing oil prices toward $97 a barrel and reigniting fears of a major supply disruption.
Idea
Fresh U.S. airstrikes on Iran are pushing oil prices sharply higher because the Strait of Hormuz — through which roughly a fifth of the world's oil flows — is directly threatened. Brent crude is already approaching $97 a barrel, and if the conflict escalates further, analysts expect prices to keep climbing. Oil stocks and energy ETFs tend to move in the same direction as crude, often with even bigger percentage swings because their profits are highly sensitive to the oil price. With no ceasefire deal in sight and inflation already running hot, this geopolitical premium in oil isn't likely to vanish quickly.