As the deadline approached on President Trump's promise to bomb Iran "to the Stone Ages," he declared a two-week ceasefire, removing the immediate threat to the Strait of Hormuz. West Texas Intermediate crude futures (CLK26) dropped 16% to $94.55 a barrel, while Brent crude (CBM26) fell 13.8% to $94.13. The move erased the geopolitical premium that had pushed prices above $110 earlier in the week.
Oil stocks followed suit, plunging 5% to 8% or more in premarket trading as traders priced in the return of ample supply. Yet one name stands out as one to buy regardless of whether this truce holds or not: ExxonMobil (XOM).
