LONDON, June 22, 2026, 09:25 BST
KEY TAKEAWAYS
- BP shares were at 505.4p, rising 1.6p or 0.32%. The stock opened at 507.7p.
- Brent crude dropped 2.09% to $78.89, leaving a 2.41-percentage-point gap between BP shares and oil.
- BP said its Dated Brent benchmark averaged $108.97 so far in the second quarter through June 17, up 34.3% from the average in the first quarter.
BP shares edged higher Monday, bucking a weaker oil price. At 09:21 BST, BP PLC (LSE: BP.; NYSE: BP) was at 505.4p, up 1.6p or 0.32% from Friday’s 503.8p close, after an open at 507.7p. Investors seem focused on fewer risks to BP’s operations and shipping after the latest US-Iran talks. Brent crude dropped 2.09% to $78.89 earlier. For BP, the diplomacy eases worries over supply through the Strait of Hormuz and chips away at oil’s geopolitical premium.
BP saw an early pop to 507.7p but then eased down to 503p. The stock still trades above Friday’s close and is 3.13% ahead of Thursday’s 490.05p finish, even after Brent crude fell more than 8% last week. Shares are still 17.1% shy of the 52-week high at 609.4p, so Monday’s move only makes a dent in the drop.
Oil slipped back after climbing early, as US-Iran talks wrapped up in Switzerland and Iran announced it had obtained waivers for oil and petrochemical shipments. Brent hit $82.30 before falling under $79. Sugandha Sachdeva, SS WealthStreet’s founder, said hopes for a diplomatic deal were improving and predicted sanctions relief may put nearly 1.5 million barrels per day of Iranian crude back on global markets.
BP shares rose 0.32% Monday even as Brent crude slid 2.09%, a relative swing of around 2.41 percentage points. Moves like that are rare for a large oil name. The market seems to be pricing in quick benefits from smoother shipping, less cargo disruption and better access to Gulf supply. The lower spot oil price looks like something to factor into BP’s earnings later.
BP’s market numbers back up the point about timing. The company’s official trading conditions dashboard puts Dated Brent at an average of $108.97 a barrel for the second quarter to June 17, up from $81.13 in the first quarter. That’s a 34.3% increase. Monday’s spot price of $78.89 is about 27.6% below that second quarter average, but one soft day doesn’t change the high prices already in place for most of the reporting period.
Operational relief is important here because BP has said about 100,000 barrels per day of oil tied to its Iraq and Abu Dhabi work normally ship via the Strait of Hormuz, along with around 5% to 10% of its LNG portfolio. “We’re controlling what we can control,” Chief Executive Meg O’Neill told Reuters. The company has been pushing up US output to keep up production as they face these issues elsewhere. If shipments through Hormuz become steadier, BP wouldn’t need as many workarounds. Reuters
BP’s first-quarter earnings show the shares don’t have to track front-month oil. Underlying replacement-cost profit was $3.2 billion, up from $1.4 billion last year. BP’s customers and products unit, which includes refining and oil trading, posted a $3.2 billion underlying result before interest and tax. BP called the oil-trading result exceptional. The company’s downstream and trading side can profit from dislocations that hit less-integrated producers.
BP Capital Markets will redeem €2.5 billion in perpetual subordinated notes today at principal plus accrued interest, then cancel the securities. The move was flagged June 4 and isn’t a surprise, but it brings BP closer to cutting perpetual hybrid capital by $4.3 billion, to about $9 billion. BP is still aiming to get net debt down to $14 billion to $18 billion by the end of 2027.
The bear view here looks simple. If BP drops below Friday’s 503.8p, Monday’s move unwinds. A clear fall through 500p would put the 490.05p close from Thursday—about 3% under today’s start—back in focus. Brent trading under $80 for long would cut into upstream realisations too. BP is still sitting on $25.3 billion of net debt. The other side is fewer interruptions to oil and LNG shipping around Hormuz, so the trade isn’t just about oil price.
BP’s share price movement isn’t tracking $79 Brent this week. The market looks more focused on BP’s integrated approach—softer spot crude, possibly better access to physical barrels, and a trading unit that had a strong Q1. BP is also starting to execute on its hybrid-capital plans. Monday’s price action hasn’t broken out yet, but it shows investors are splitting off BP’s logistics and trading story from the overall oil price for now.
The next big driver is if the 60-day US-Iran talks actually get tankers moving steadily through the Strait of Hormuz. BP traders say they’ll believe progress when they see real ship traffic and Gulf cargoes sailing, not just another statement out of Switzerland.
Disclaimer: This story is for information only. It is not investment advice, a recommendation, or an offer to buy or sell any securities. Markets move fast. Investors should do their own research and weigh their financial situation and risk tolerance.
