Oil & gasoline

Exxon, Chevron Profits Slump but Beat Estimates

Is this a sign of business strength or a windfall gouging American families?

1 hour ago·Updated 59 minutes ago

Exxon, Chevron Profits Slump but Beat Estimates

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Above: The ExxonMobil ticker is displayed at the New York Stock Exchange in New York City on April 20. Image credit: Michael Nagle/Bloomberg/Getty Images

The Spin

Pro-establishment narrative

Despite headline profit drops, Exxon and Chevron actually crushed Wall Street estimates, and the accounting losses were just temporary timing effects from hedging — not real losses. Exxon's cash from operations hit $13.8 billion, above its 12-quarter average, proving the underlying business is thriving. The Iran war's oil price surge is setting both companies up for even bigger gains as deferred profits roll in.

CNBC The Wall Street Journal

Establishment-critical narrative

Oil company windfall profits during the Iran war come straight out of American families' pockets, with diesel up $1.70 a gallon and no mechanism to redistribute those gains back to consumers. The Strait of Hormuz crisis is driving up costs for nearly everything — diesel, jet fuel, fertilizer and plastics — and that inflation will push the Federal Reserve toward rate hikes, raising the risk of a recession.

The Daily Signal

Paul Krugman on Substack