Chevron Corp. (NYSE:CVX) and ExxonMobil Holdings Corp. (NYSE:XOM) shares climbed to fresh 52-week highs on Monday as renewed U.S. and Israeli threats against Iran fueled a sharp jump in crude oil prices and raised concerns about further disruptions to energy supplies from the Middle East.
The gains came as President Donald Trump and Israeli Prime Minister Benjamin Netanyahu escalated their rhetoric toward Tehran, while Iranian officials warned that any renewed military action would trigger a stronger response.
Energy Stocks, Oil Prices Surge
Chevron shares hit $225.67 on Monday, marking a new 52-week high, while Exxon Mobil climbed to $179.30, also setting a fresh 52-week high, according to Benzinga Pro data.
The moves came alongside a sharp rally in crude oil prices. Brent crude surged to an intraday high of $110.97 per barrel on Monday, its highest level since May 5, 2026, as traders assessed the risk that renewed U.S.-Israeli military action against Iran could further threaten oil production and shipments from the region.
The Strait of Hormuz remains a particular focus for energy markets. The key waterway is critical to global oil flows, meaning any prolonged disruption could put additional upward pressure on crude prices and benefit major integrated oil producers such as Chevron and ExxonMobil.
The United States Oil Fund (NYSE:USO) ETF was up 1.19% in overnight trading on Tuesday at $162.73, while the ProShares Ultra Bloomberg Crude Oil (NYSE:UCO) ETF was up 1.43% at $64.74 at the last check.
Trump, Netanyahu Escalate Iran Threats As Tehran Warns Of Retaliation
The latest escalation followed a series of increasingly forceful warnings from Washington and Jerusalem.
“They have been systematically destroyed, both militarily and financially, and unless they change their ways, rapidly, we will soon finish the job,” Trump said in a post on Truth Social, referring to Iran.
He also endorsed Netanyahu, saying that the U.S. would have to go it alone with respect to the Iranian conflict, if the Israeli PM were to be voted out scheduled to be held on Oct. 27.
“Together we are going to remove the Iranian threat forever!” Netanyahu said in a subsequent post on X.
This drew a forceful reaction from Iranian Foreign Minister, Seyed Abbas Araghchi. “Last time you wanted to “finish the job”, Iran emerged even stronger. Want to try your luck again? Be our guest. But be careful; we have unfinished jobs too,” he said in a post on X.
Araghchi added that Netanyahu is driving the U.S. into another war to stay out of jail, regardless of the consequences for Israel or Trump.
Oil Market Still Faces Supply Risks, Say Analysts
Oil continues to carry a significant geopolitical risk premium as uncertainty over the Strait of Hormuz persists, ING Think analysts Warren Patterson and Ewa Manthey said. They said a full unwind of that premium would likely require a U.S.-Iran agreement that gives markets confidence in sustained regional oil flows.
Meanwhile, International Energy Agency (IEA) members agreed to release the remaining 100 million barrels from strategic reserves. U.S. crude inventories also fell 8.56 million barrels last week, while distillate stocks dropped 2.53 million barrels to record seasonal lows, adding to signs of tightness in the oil market, the firm stated.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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