Since February, the Iran war has pushed Brent crude oil prices to $150 a barrel, closing the Strait of Hormuz and driving energy prices up sharply. This has benefited specialized energy ETFs like Amplify Breakwave Tanker Shipping (up 630%) and oil futures ETFs (USO, BNO, UGA), while traditional gold ETFs and miners have declined due to liquidity pressures and rising interest rates. Defense technology ETFs focused on drones and AI have outperformed traditional defense stocks amid increased U.S. defense budgets. Investors face opportunities in energy and defense tech but must consider how long these trends will last after the conflict ends, with potential long-term shifts in energy demand and consumer behavior.
