Sunday, February 22, 2026-Global oil markets have been pushed to near six‑month highs as geopolitical tensions between the United States and Iran escalate, driven by renewed pressure from President Donald Trump and fears of potential conflict in the Middle East.
Brent crude has climbed into the low $70s per barrel, while U.S. West Texas Intermediate crude has settled above the mid‑$60s — levels not seen since mid‑2025 — as traders price in the risk of supply disruptions through the strategically vital Strait of Hormuz. The threat of a U.S. military deadline for Tehran and increased naval activity in the region have kept energy markets on edge.
Yet long before recent headlines drove oil higher, parts of the energy sector were already in rally mode. Stocks in the oil and gas field services segment had posted strong gains earlier this year, reflecting robust demand for drilling, exploration, and production work — particularly linked to expanding activity in regions like Venezuela after renewed U.S. engagement there.
Companies such as Halliburton and SLB, which provide essential services to energy projects worldwide, have seen their share prices rise sharply, outpacing broader market returns. This prior rally highlights that the sector’s strength isn’t solely a reaction to geopolitical fear, but also to underlying operational momentum.
For investors and industry watchers, the current environment underscores two major dynamics: short‑term price spikes from geopolitical risk and longer‑term structural growth in energy services and production investment.
With oil prices hovering near multi‑month highs, energy companies benefit from stronger margins and renewed capital flows, while markets brace for how the U.S.–Iran standoff will unfold. The combination of heightened geopolitical risk and solid fundamentals in parts of the energy industry suggests sustained interest in the sector — but also continued volatility as global events unfold.
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