Markets wasted no time reacting to the geopolitical shock over the weekend.
Oil and defense stocks moved higher in premarket trading Monday after President Trump said the US plans to temporarily “run” Venezuela following Saturday’s military operation that resulted in the capture of President Nicolás Maduro.
Energy markets price in a Venezuela reset
The biggest early winners were oil producers and refiners tied to Venezuelan supply. President Trump said US oil companies are prepared to spend billions rebuilding Venezuela’s oil infrastructure, which has been hollowed out by years of sanctions, underinvestment, and operational failures.
Chevron $CVX ( ▼ 4.46% ) , the only major US producer still operating in Venezuela, jumped early, alongside Exxon $XOM ( ▼ 3.44% ) and ConocoPhillips $COP ( ▼ 2.11% ) . Refiners with Gulf Coast exposure to heavy, high-sulfur crude also gained, including Valero $VLO ( ▼ 1.27% ) , Phillips 66 $PSX ( ▼ 2.38% ) , and Marathon Petroleum $MPC ( ▼ 2.58% ) , as traders priced in the potential return of Venezuelan barrels to global markets.
Oilfield services see rebuilding upside
Oilfield services stocks also caught a strong bid as investors looked one step downstream. Halliburton $HAL ( ▼ 3.42% ) and Schlumberger $SLB ( ▼ 0.39% ) rose sharply, reflecting expectations that restoring Venezuela’s production capacity would require massive drilling, maintenance, and infrastructure work.
If US companies are allowed to play a central role in reviving output, service providers could become some of the biggest long-term beneficiaries of a Venezuelan reset.
Geopolitics adds a new risk premium
Beyond energy, defense stocks moved higher as well, reflecting renewed geopolitical uncertainty and the potential for prolonged US involvement in the region.
For markets, the immediate takeaway is simple. Venezuela is back on the radar, oil supply dynamics may be shifting, and investors are starting the week positioning for a world where geopolitics once again drives energy prices and defense spending narratives.