NEW YORK, Jan 25, 2026, 1:27 PM EST — Market closed.
- The S&P 500 energy index climbed 0.6% on Friday, marking its third consecutive record close.
- Oil jumped nearly 3% following fresh U.S. sanctions targeting Iranian exports and renewed concerns over supply disruptions.
- Traders are focused on U.S. inventory figures due Jan. 28, followed by a busy earnings slate featuring Exxon and Chevron later in the week.
U.S. energy shares closed Friday at record highs, propelled by a strong rebound in crude oil as traders factored in escalating Middle East supply risks ahead of the new week. Reuters
Energy has been the star performer within the S&P 500 so far this year, and its volatility tied to oil news is once again clear. The S&P 500 energy index has surged 10.1% in 2026, according to Reuters data. Reuters
Exxon Mobil closed Friday at $134.97, ticking up roughly 1%. Chevron barely moved, ending at $166.72. ConocoPhillips added around 1.5%, finishing at $98.35, while Occidental jumped about 2.2% to $44.10. Oilfield services giant SLB slipped roughly 0.3%, closing at $49.15.
Brent crude closed Friday up $1.82, or 2.8%, at $65.88 a barrel. U.S. West Texas Intermediate rose $1.71, or 2.9%, to $61.07. Reuters noted that both benchmarks recorded weekly gains exceeding 2.5%. Reuters
The trigger came down to geopolitics and policy moves. The U.S. Treasury announced sanctions on nine ships and eight companies tied to Iranian oil transport. President Donald Trump also warned that an “armada” was en route to Iran. Reuters
Supply disruptions are once again grabbing attention. Chevron reported that production at Kazakhstan’s massive Tengiz oilfield remains halted following a fire. A company spokesperson confirmed the operator has “temporarily shut in production” at both the Tengiz and Korolev fields. Reuters
J.P. Morgan warned that Tengiz could stay offline through the end of the month, highlighting export delays at the Caspian Pipeline Consortium. Repairs on a crucial loading buoy were set to finish by Jan. 26. “Our base case remains that the restart will likely occur in early to mid-February,” the bank said. Reuters
In the U.S., a winter storm has thrown supply and demand into flux. Energy Aspects estimates shut-ins could hit around 300,000 barrels per day. Traders are also focusing on distillate fuel, essential for heating and power generation. “There is the potential for a surge in distillate demand,” said Tom Kloza, a seasoned oil analyst. Reuters
Deal headlines shifted the scene. Libya inked a 25-year oil development pact with TotalEnergies and ConocoPhillips, committing over $20 billion in investments. On top of that, the government sealed a memorandum of understanding with Chevron, Reuters reported. Reuters
On Sunday, a tanker hired by Trafigura departed Venezuela with roughly 1 million barrels of Merey heavy crude headed for the Louisiana Offshore Oil Port. This marks the first direct shipment to a U.S. port under the 50-million-barrel supply agreement between Caracas and Washington, according to LSEG data and documents cited by Reuters. Reuters
But the trade could swing sharply. Should Tengiz restart earlier than anticipated or Venezuelan output ramp up faster, more barrels may flood the market just as demand softens due to weaker driving and weather issues, putting pressure on crude prices and the sector’s gains. Reuters
The next key data point comes from U.S. government inventories: the Energy Information Administration’s Weekly Petroleum Status Report is set for Wednesday, Jan. 28. The agency has the next release date posted on its site. EIA
Energy investors are set to focus on earnings next. Exxon plans to report results on Friday, Jan. 30, the company announced, with Chevron holding its earnings call that same day. Exxon Mobil Corporation
