Shares of energy companies are treading water as crude soars amid the Iran war, signaling that investors anticipate oil prices will soon subside.
Brent crude prices, the global benchmark, are up about 40% as of 6:40 a.m. Friday in New York since the conflict began almost two weeks ago, and as the flow of oil through a key route — the Strait of Hormuz — has come to a virtual stop, leaving crude around $100 a barrel. However, the S&P 500 Energy Sector Index, which includes companies that produce and refine oil, has only gained about 3% in that period, trailing Brent by the most since 2020.