Trump Targets Big Oil's War Profits
US President Donald Trump has criticized ExxonMobil (XOM) and Chevron (CVX) for making 'too much money' during the Iran war. The companies reported record-breaking profits, with Chevron's profit more than quadrupling to $12.1 billion in the second quarter, while Exxon's earnings more than doubled to $14.5 billion.
The price of crude oil has been volatile since February, when the US and Israel struck Iran, causing Brent crude prices to jump from around $72 a barrel to nearly $120 at its peak. Trump said that both companies should return some of their profits to consumers, claiming that pump prices would 'drop through the floor' once the war ends.
Chevron used part of its windfall to cut debt by a record $8.4 billion, while Exxon returned $9.4 billion to shareholders through dividends and buybacks. Trump's comments come as a surprise, given his usual alignment with the fossil fuel industry.