The U.S.-Iran conflict has halted most petroleum shipments through the Strait of Hormuz. Global supply constraints pushed Brent crude prices above $100 per barrel for much of the preceding quarter.
Exxon Mobil doubled its quarterly profits to $14.53 billion. Chevron nearly quadrupled its quarterly profits to $12.07 billion.
Oil producers and refiners are capturing a windfall from higher margins on gasoline, diesel, and jet fuel. American refineries are currently operating at near-full capacity to meet global demand.
Sustained high prices and record profits continue to drive investor sentiment in major energy ETFs.