SHEL is trading at $90.11, down 4.29% in after-hours trading as geopolitical tensions in the Middle East spark supply disruption fears despite record crude prices.
- Geopolitical risks peaked with Iran's Strait of Hormuz deadline, causing markets to price in potential supply shocks even as Brent and WTI crude trade above $113 and $114 per barrel, respectively.
- Investors are engaging in profit-taking within the LNG segment following record gains, while weighing concerns that sustained energy inflation could trigger further Fed rate hikes.
- The decline comes despite broader market strength, with the S&P 500 rising 2.21%, highlighting the specific headwinds facing the energy sector.