Oil Giants Set for War-Driven Windfall as Gas Prices Soar

US oil giants ExxonMobil and Chevron are set to report massive profits in their second-quarter earnings reports, thanks to the supply shock caused by the US-Iran war. The Strait of Hormuz, through which one-fifth of the world's crude oil passes each day, has been virtually closed due to the conflict.

This has led to a significant boost in refining margins and pushed up crude oil and natural gas prices. As a result, ExxonMobil is projected to report $14.9 billion in quarterly profits, more than double its profit from the same period last year. Chevron is forecast to report profits of $11.1 billion, more than four times its 2025 level.

However, huge oil industry profit increases often generate political blowback. Even President Donald Trump, a strong supporter of fossil fuel interests, has lashed out over gasoline prices, announcing in June that he was directing the Department of Justice to investigate any 'gouging' perpetrated by the industry.