London, March 2, 2026, 11:15 GMT — Regular session
- BP shares rise as oil prices jump on fears of disrupted Middle East supply routes
- Energy stocks outperform even as broader European equities slide
- Focus turns to Strait of Hormuz flows, tanker insurance and OPEC+ supply plans
BP shares traded higher on Monday, tracking a sharp jump in oil prices after fresh disruption fears in the Middle East. The stock was up about 1.7% at 485.6 pence, after touching 508.6 pence earlier in the session. 1
The move matters because BP’s cash flow is still tightly tied to crude and gas, and traders tend to buy the big integrated oil names when energy prices spike. In a risk-off tape, they can behave like a hedge.
Oil’s jump has also landed in the middle of a fragile moment for markets: higher energy costs can feed inflation and squeeze growth, while jolting expectations for rates and corporate earnings.
Brent crude rose as much as 13% and was up about 8% at $78.87 a barrel by 0919 GMT, after Iranian retaliation disrupted shipping through the Strait of Hormuz, a key artery for global oil trade. “The latest move reflects uncertainty around the scale and duration of the current conflict,” said James Hosie of Shore Capital. 2
Energy stocks were among the rare gainers in Europe as broader equities fell, with BP and Shell each up around 6% at one point, according to a Reuters market report. 3
That backdrop is doing most of the work for BP on the day. Higher realised prices can lift upstream earnings, while trading desks across the majors can see bigger volumes and wider spreads when volatility hits.
Analysts expect crude to stay elevated for days as the market watches tanker movements and any further curbs on shipments through Hormuz. Goldman Sachs put a real-time “risk premium” — an extra price for uncertainty — at about $18 a barrel, and warned prices could rise “substantially more” if disruption persists. 4
But the trade cuts both ways. If flows normalise quickly or the conflict de-escalates, crude can retrace fast and energy shares usually give back gains just as quickly.
BP also has less of a mechanical bid under the stock than some peers after it suspended share buybacks at its last results, redirecting cash to reduce debt. 5
For investors, the next clear company catalyst is BP’s first-quarter results and dividend announcement on April 28, when it will have to put numbers around whatever price shock the market is now trying to trade. 6
