BATL, XOM, USO Tank As Crude Oil Prices Plunge On Reopening Of Strait Of Hormuz — Trump Says US, Iran Removing All Sea Mines

• Major U.S. oil stocks, including Exxon Mobil, Chevron, ConocoPhillips, and Battalion Oil, declined between 5% to 14% on Friday.
• President Trump stated in a post on Truth Social that Iran has agreed to never close the Strait of Hormuz again.
• U.S. equities soared on Friday following the announcement, with the Dow Jones Industrial Average surging by more than 1,000 points, while the S&P 500 and the Nasdaq Composite reached new all-time highs.

Crude oil prices plummeted on Friday after Iranian Foreign Minister Seyed Abbas Araghchi announced that the Strait of Hormuz would be “completely open” during the remainder of the ceasefire period between the U.S. and Iran.

“In line with the ceasefire in Lebanon, the passage for all commercial vessels through Strait of Hormuz is declared completely open for the remaining period of ceasefire, on the coordinated route as already announced by Ports and Maritime Organisation of the Islamic Rep. of Iran,” Araghchi stated in a post on X.

U.S. West Texas Intermediate (WTI) crude futures expiring in May were down nearly 13%, hovering around $82, the lowest in more than a month. Brent crude futures expiring in June fell about 11% to hover around $88 a barrel.

The United States Oil Fund ETF (USO) was down about 11% at the time of writing, while the ProShares Ultra Bloomberg Crude Oil ETF (UCO) tumbled nearly 14%.

Meanwhile, major U.S. oil stocks also followed suit in Friday morning’s trade. Battalion Oil Corp. (BATL) shares were down more than 14%, while Exxon Mobil Corp. (XOM) fell nearly 6%. Shares of Chevron Corp. (CVX) were down nearly 5%, while ConocoPhillips (COP) fell about 7%.

Trump Says US, Iran Working To Remove Mines

President Trump announced that the U.S. and Iran are working together to remove all sea mines placed by the Middle Eastern country in the Strait of Hormuz, removing a critical threat to vessels passing through the critical waterway.

Trump also stated in another post on Truth Social that Iran has agreed to never close the Strait of Hormuz again.

He added that this deal with Iran is not tied in any way to Lebanon. This comes after Israel and Lebanon agreed to a 10-day ceasefire on Friday.

Dow Soars Over 1,000 Points

The reopening of the Strait of Hormuz sent U.S. equities soaring on Friday, with the Dow Jones Industrial Average (DJIA) surging by more than 1,000 points.

The S&P 500 reached a new all-time high of 7,136, while the Nasdaq Composite also scaled a new all-time high of 24,490.

At the time of writing, the SPDR S&P 500 ETF (SPY), which tracks the S&P 500 index, was up 1.25%; the Invesco QQQ Trust ETF (QQQ) rose 1.32%; and the SPDR Dow Jones Industrial Average ETF Trust (DIA) surged 2%. Retail sentiment on Stocktwits regarding the S&P 500 ETF was in the ‘extremely bullish’ territory.

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