Russia's decision to ban diesel exports this week has roiled global energy markets, exacerbating shortages of the industrial fuel and sending prices soaring, even in countries that no longer buy the fuel from Moscow.
The Middle East war has turned 2026 into a breakout year for energy ETFs, with seven oil-focused funds surging as a historic supply crunch pushes crude prices higher. Key Takeaways: Seven oil ETFs are among 2026's top performers, with USO up nearly 90% year to date.
DBO climbs to a new 52-week high as rising oil prices, Middle East tensions and supply fears fuel momentum in the energy ETF.
The price to fill commercial jetliners has nearly doubled as the Strait of Hormuz remains closed. It costs about $340,000 to fully fuel an Airbus A380, an increase of about 61% from pre-war levels.
Jet fuel exports have plunged due to the closure of the Strait of Hormuz. European airports have warned that the EU will face a "systemic jet fuel shortage" if the strait does not reopen.
Crude oil outlook turns cautious as oversupply risks persist. Track USO, DBO & USL for potential opportunities amid geopolitical jitters.
Oil ETFs gained about 4% last week. However, the outlook for 2025 does not appear too bullish.
The Invesco DB Oil Fund ETF offers exposure to WTI oil futures market. A recent decline in oil prices is primarily due to reduced geopolitical risks in the Middle East. Investors may consider DBO in case of another round of escalation in the Middle East, but potential oversupply risks are substantial enough to avoid oil exposure in the medium term.
Oil companies try to persuade the former president and his Republican allies not to slash provisions of the Inflation Reduction Act potentially worth billions.
Tensions in the Middle East escalated on Wednesday following an Iranian missile attack on Israel, sparking demand for safe-haven assets as investors grew anxious about the potential expansion of the conflict.
Prices of oil, gold and shares in defence companies jumped but most stock-market benchmarks tumbled, as financial markets reacted to US reports that Iran is preparing to launch an attack on Israel. "The United States has indications that Iran is preparing to imminently launch a ballistic missile attack against Israel," according to a statement from a senior White House official to US media.