Trump And Iran Put Oil Prices Near Six-Month Highs But This Energy Industry Was Already Rallying

President Donald Trump has set the stage for a possible military strike on Iran, presumably to pressure the country to meet demands for a nuclear deal. The resulting tension between the U.S and Iran sent oil prices near six-month highs  and boosted some oil and gas stocks Thursday. However, several energy industry groups were already rallying, with one in particular leading the charge.

U.S. oil prices traded less than 1% lower early Friday, holding above $66 per barrel. That’s right around the highest level since early August 2025, after a nearly 5% gain on Thursday. The boost is primarily due to geopolitical risk associated with fears of supply disruption if the U.S. and Iran begin a full-blown conflict. News reports emerged this week that a U.S. military operation in the Middle East could begin soon.

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Any major military action with Iran could threaten production out of Iran as well as shipments through the Strait of Hormuz. The strait is a key chokepoint for oil tankers leaving Iran, Iraq, Saudi Arabia and United Arab Emirates.

The Wall Street Journal reported late Thursday that Trump could authorize military action within days and would target certain military or government sites. If Iran still refuses to agree with Trump’s demand to end nuclear enrichment, the U.S. could respond with a broad campaign against the Tehran regime, according to the report.

Trump on Thursday told reporters he would decide his next moves on Iran within 10 to 15 days.

“We’re going to make a deal or get a deal one way or the other,” Trump said.

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Trump: Oil Prices And Iran

The recent back and forth between Trump and Iran brought increased risk to certain oil supplies. Traders moving to compensate for those risks drove oil prices higher. That, in turn, lead some oil and gas stocks to advance.

“The escalation we have seen in recent days with the buildup of U.S. military assets in the region makes it increasingly difficult to find a path to de-escalation,” ING analysts Warren Patterson and Ewa Manthey wrote Friday.

“The key question is then how prolonged any action would be and what the ultimate aim of the U.S. is. A short and targeted campaign with limited retaliation from Iran (similar to what was seen in June 2025) is starting to look like the best-case scenario. This would likely only lead to a short-term spike in oil prices,” the analysts added.

These Oil Stocks Rallying On A Different Trump Move

While U.S.-Iran tensions are the main reason for the current oil-price spike, several of the IBD-tracked oil and gas industry groups have been on a hot streak since early January following the U.S. military strike to capture Venezuelan President Nicolas Maduro. Trump has also repeatedly said oil companies will be investing heavily in Venezuela to revitalize the country’s oil infrastructure.

Among those rallying groups, the  Oil & Gas-Field Services group has headed the charge. Analysts believe S&P 500 oilfield service firms Halliburton (HAL) and SLB (SLB) will be able to capitalize on any opportunity in the South American country.

The Oil & Gas-Field Services industry group has advanced about 29% in the 2026 stock market. That’s earned the group a No. 14 ranking out of the 197 industries tracked by IBD. The industry group began to rally on Jan. 8 and booked a 18.3% jump in January. So far in February, the 28 stocks are collectively up 9%.

Halliburton is up more than 25% and SLB stock has rallied 34.3% so far this year.

Halliburton stock advanced dipped 0.8% prior to the stock market open on Friday after gaining 1.7% to 35.37 on Thursday. For its part, SLB enters the market open on Friday up 2.3% on the week.

The Venezuela Opportunity

SLB CEO Olivier Le Peuch said last month that his company “is the only international service company actively operating in Venezuela today.”

Halliburton Tops Earnings. ‘Could scale up fairly quickly’ In Venezuela

“We are excited, and we have receiving a lot of inquiries from our customers,” Le Peuch said.

Meanwhile, Halliburton CEO Jeff Miller also told analysts in late January he is “excited about the tremendous opportunity for Halliburton in Venezuela.”

“Halliburton knows this market well and we will grow our business there as soon as commercial and legal terms are resolved, including payment certainty,” Miller said. “The early steps are already well underway.”

U.S. supermajors Chevron (CVX) and ExxonMobil (XOM) have also been revving higher on the Trump-Venezuela news cycle. Exxon Mobil stock is up more than 25% while Chevron shares have gained 21% on the year.

The 22 stocks in IBD’s Oil & Gas-Integrated industry group have climbed about 25% higher to start the 2026 stock market.

Halliburton stock has an 89 Composite Rating out of a best-possible 99. The S&P 500 oilfield service play also has a 92 Relative Strength Rating and a 66 EPS Rating.

Please follow Kit Norton on X @KitNorton for more coverage.

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