Key Takeaways
- • Paul Tudor Jones expects oil prices to rise a further $20 to $25 per barrel as the US-Iran conflict continues, according to CNBC, which reported his remarks on Squawk Box.
- • WTI crude was trading near $92.50 per barrel on Tuesday morning; a rally of the forecast size would push prices above the 2026 closing high of just under $113.
- • Tudor Jones warned that a sustained energy rally would pressure equities, though US stocks have so far shown resilience to oil volatility.
- • He sees limited prospects for a diplomatic resolution before the November US midterm elections and suggested President Donald Trump could negotiate an end to the conflict afterward.
Summary
Hedge fund manager Paul Tudor Jones, founder and Chief Investment Officer of Tudor Investment, said he remains bullish on oil, according to a CNBC report from his appearance on Squawk Box on Tuesday. He expects prices to climb another $20 to $25 per barrel while the US-Iran conflict persists, and he cited limited prospects for a resolution ahead of the November US midterm elections as the basis for his view.
West Texas Intermediate crude futures were trading at approximately $92.50 per barrel on Tuesday morning. A rally of the magnitude Tudor Jones forecast would lift prices above their previous 2026 closing high of just under $113. He warned that a further surge in energy prices would be particularly challenging for equities, although US stocks have so far demonstrated resilience to oil market volatility.
The conflict began on 28 February with the outbreak of hostilities between the US and Iran. The S&P 500 fell just over 7% at its March low, a smaller decline than analysts had anticipated given the scale of the initial oil price increase. Oil prices peaked in early April, fell below $70 per barrel in June, and began recovering in July as Middle East tensions escalated and uncertainty persisted over shipping through the Strait of Hormuz, a key route for global oil supplies. Crude reached almost $106 per barrel in September before retreating.
Beyond energy, Tudor Jones expects 2027 to present challenges for equities, with potential initial public offerings from major technology companies, including Anthropic and OpenAI, likely to increase the supply of shares available to investors.
Tudor Jones suggested that President Trump could seek to negotiate an end to the conflict after the November vote, arguing that the current situation is unlikely to be sustainable over the longer term.
West Texas Intermediate crude futures were trading at approximately $92.50 per barrel on Tuesday morning. A rally of the magnitude Tudor Jones forecast would lift prices above their previous 2026 closing high of just under $113. He warned that a further surge in energy prices would be particularly challenging for equities, although US stocks have so far demonstrated resilience to oil market volatility.
The conflict began on 28 February with the outbreak of hostilities between the US and Iran. The S&P 500 fell just over 7% at its March low, a smaller decline than analysts had anticipated given the scale of the initial oil price increase. Oil prices peaked in early April, fell below $70 per barrel in June, and began recovering in July as Middle East tensions escalated and uncertainty persisted over shipping through the Strait of Hormuz, a key route for global oil supplies. Crude reached almost $106 per barrel in September before retreating.
Beyond energy, Tudor Jones expects 2027 to present challenges for equities, with potential initial public offerings from major technology companies, including Anthropic and OpenAI, likely to increase the supply of shares available to investors.
Tudor Jones suggested that President Trump could seek to negotiate an end to the conflict after the November vote, arguing that the current situation is unlikely to be sustainable over the longer term.
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