Aaron Rennie
1 min read
In This Article:
Shares of oil companies were some of the S&P 500's top gainers Tuesday as investors evaluated fresh developments in the conflict between Israel and Iran.
West Texas Intermediate, or WTI, crude futures rose more than 4% in mid-afternoon trading to about $75 per barrel. Shares of Valero Energy (VLO), APA (APA), Marathon Petroleum (MPC), Chevron (CVX), Hess (HES), and Occidental Petroleum (OXY) increased by more than 2%, with Valero up 3.4%.
Oil prices rose after a pair of posts on Truth Social by President Donald Trump amid ongoing Israel-Iran tensions. In one post, Trump said that "We know exactly where the so-called 'Supreme Leader' is hiding," referring to Iran's Supreme Leader Ayatollah Ali Khamenei; in another, he called for Iran's "UNCONDITIONAL SURRENDER!" Concerns about a protracted conflict in the Middle East have lifted oil prices amid supply fears.
Airline stocks fell on Tuesday, with shares of United Airlines (UAL) and Delta Air Lines (DAL) among the biggest decliners in the S&P 500, down 5% and 4%, respectively. Fuel constitutes a large and unpredictable expense for carriers, with Delta buying an oil refinery near Philadelphia in 2012.
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