War-Driven Profits Fuel Concerns Over High Gas Prices

Oil giants ExxonMobil and Chevron reported record-breaking profits on Friday due to the ongoing Middle East war, which has disrupted global oil supplies. The war in the region led to a shutdown of the Strait of Hormuz, resulting in reduced refinery capacity and higher gasoline prices.

ExxonMobil's second-quarter profits more than doubled to $14.5 billion, while Chevron's came in at $12.1 billion, up from the year-ago quarter. The high crude oil prices, averaging $96.41 a barrel on international assets, contributed significantly to their earnings.

However, despite the windfall profits, executives from both companies warned that gasoline prices will likely remain above $4 per gallon for an extended period. ExxonMobil's Chief Executive Darren Woods said, 'I wouldn't hold my breath here in the short term,' predicting that it would take time to reopen the Strait and restore supply chains.