The US is not yet ready to escort oil tankers through the Strait of Hormuz, despite calls for immediate action from Iran’s new Supreme Leader. Energy Secretary Chris Wright said the U.S. Navy will begin escorts “relatively soon,” but it can’t happen now due to current military priorities.
Iran’s threats against US military bases in the Middle East are also causing concern. The country’s new leader, Mojtaba Khamenei, has called for the closure of all US military bases, which he believes will be attacked.
These developments have led to a surge in energy stocks, including CrowdStrike, Palo Alto, and Fortinet, as investors prepare for potential cyberattacks from Iran. Meanwhile, oil prices are rising again, with the current price at $93.62.
Wells Fargo has upgraded Occidental Petroleum (OXY) due to potential improvements in Permian productivity and capital intensity. However, market experts warn that a worst-case scenario of $200 oil could wreak havoc on markets and individual wallets.
In the meantime, energy stocks such as US Oil Fund (USO) and First Trust Natural Gas ETF (FCG) are gaining traction, according to JPMorgan. Investors may want to consider these options until the Strait of Hormuz is safe again.
Source: https://247wallst.com/investing/2026/03/12/stock-market-live-march-12-2026-sp-500-spy-slips-on-oil-again