Oil traders hedge US-Iran war risks with strategic spread bets

8 articles · Updated · Bloomberg · May 5

As the conflict enters its third month, traders are positioning around US inventories and Strategic Petroleum Reserve releases amid pressure on the US to meet global demand.
One hedge linked to a possible SPR release helped moderate crude futures last week, while another reflects bets on divergent price outcomes.
The longer-shot trade assumes Donald Trump may act to curb fuel prices before US midterm elections, or that renewed escalation could further disrupt Middle East oil supplies.

As America becomes the top oil exporter, why are its own citizens facing record-high gas prices?

How are oil traders predicting US-Iran military actions with such profitable accuracy?

Can US naval escorts secure global oil flow if Iran continues its asymmetric attacks?