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Exxon, Chevron Stocks Rise. Iran Hormuz Strait Closure Would Be Huge for Oil. - Barron's

1. XOM shares rose 0.8% amid Middle East tensions. 2. Iranian parliament voted to close the Strait of Hormuz. 3. Investors see a low chance of actual blockage at 27%. 4. Market reaction remains muted despite geopolitical uncertainty. 5. Future stock movements depend on Iran's next actions.

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FAQ

Why Neutral?

While XOM shares gained slightly, overall market response is cautious. Historical instances show muted reactions to geopolitical events unless immediate risks emerge.

How important is it?

The geopolitical situation could affect oil supply, impacting oil stocks including XOM, despite current stabilization.

Why Short Term?

Short-term volatility may arise as market awaits news on Iran's actions. Historical conflicts often see price fluctuations based on geopolitical stability.

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