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Vessels traveling through the Strait of Hormuz near Bandar Abbas, Iran
Photo: Al Jazeera / Reuters

Energy Stocks Hit All-Time High as Brent Oil Tops $107 on Iran War

CNBC2 min read7 sources

Why is ExxonMobil stock up today?

ExxonMobil (XOM) stock rose 0.6% on Friday as Brent crude's 12% weekly surge above $107, driven by U.S.-Iran war disruptions to Strait of Hormuz shipping, made energy the S&P 500's lone outperforming sector.

Key numbers

Brent crude (Friday close)$106.11+12% week-over-week — largest weekly gain since mid-July [1]
XOM stock price$165.02+0.6% on Friday; intraday range $163.30–$167.07 [1]
10-year Treasury yield4.95%+18 bps on the week — highest since 2023 [2][6]
FOMC Sep 16 rate-hike probability69%vs ~30% before Fed Chair Warsh's Aug 28 Jackson Hole speech [4]
XLE energy ETF (YTD)+42%Best S&P 500 sector in 2026; hit all-time high Sept 11 [3]
Saudi Arabia crude output (Aug 2026)6.238 mb/dLowest since 1990, reflecting Hormuz-linked supply shock (per [5])

What happened

ExxonMobil (XOM) stock rose 0.6% on Friday as Brent crude's 12% weekly surge above $107, driven by U.S.-Iran war disruptions to Strait of Hormuz shipping, made energy the S&P 500's lone outperforming sector. Iranian and Houthi attacks have cut Strait of Hormuz tanker traffic to about 10 ships a day, what the IEA calls history's biggest oil supply shock. Brent hit $109 on Thursday before easing to $106 on Friday, still enough to push the XLE energy ETF to a new all-time high since its 1998 launch. The oil shock also sent the 10-year Treasury yield to 4.95%, lifting September rate-hike odds to 69%.

Why it matters

Energy stocks like ExxonMobil are gaining because the U.S.-Iran conflict has pushed oil to its highest level in four months — good for companies that drill and refine crude. The flip side for everyday consumers is diesel above $6 a gallon and roughly $419 in extra fuel costs per household since the war began. Higher oil also stokes inflation, pushing the Fed toward a rate hike that would raise borrowing costs on mortgages and credit cards.

Who this affects

Marketmixed
High impact
Energy sector gains while S&P 500 slips on yield fears.
Companybullish
High impact
ExxonMobil profits expand sharply when crude prices run this high.
Competitorsbullish
High impact
Chevron, ConocoPhillips, and Shell all rise alongside XOM.
Industrybullish
High impact
Oil windfall lifts energy industry even as rate outlook tightens.

ExxonMobil vs Chevron, ConocoPhillips, Shell

ExxonMobilXOM$165.02+0.6%——
ChevronCVX$214.01———
ConocoPhillipsCOP$118.79+0.75%+47.4%—
ShellSHEL$96.15———

As of 2026-09-11

How we got here

  1. U.S.-Israel military operations against Iran begin, shocking oil markets.

  2. Fed Chair Warsh's hawkish Jackson Hole speech lifts rate-hike odds to ~50%.

  3. CME FedWatch puts September rate-hike probability at 66%.

  4. Brent tops $108; ConocoPhillips hits 52-week high of $137.57.

  5. Brent eases to $106; XLE hits all-time high; 10-year yield at 4.95%.

What to watch

  • Fed September 16 decision: hike or hold at 3.50–3.75% target range.2026-09-16
  • Strait of Hormuz tanker flows: ceasefire or escalation reshapes oil supply fast.2026-09-15
  • U.S. August CPI print could confirm or ease rate-hike pressure heading into FOMC.2026-09-12

Educational content only. Not investment advice.

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