Spotlight Stocks: Geopolitical Risks Escalate! International Oil Prices Surge, 2 Crude Oil ETFs Soar

Amid rising Middle East tensions and risks of shipping route disruptions, international oil prices surged sharply on the 23rd, prompting strong investor demand for Taiwan-listed crude oil ETFs. Yuan Big S&P Oil (00642U-TW) and Jie Kou Brent 2x (00715L-TW) opened sharply higher on the 24th, gaining 4–5% as buying interest surged.

The Houthi armed group in Yemen claimed attacks on Saudi oil tankers in the Red Sea, while shipping through the strategic Strait of Hormuz nearly ground to a halt. These developments heightened market concerns over potential crude oil supply disruptions, pushing international crude futures prices sharply higher.

London Brent crude futures closed up 7% the previous day, surging to $100.69 per barrel—the first time above the $100 mark since May. U.S. West Texas Intermediate (WTI) crude futures also rose 6.2%, closing at $92.19 per barrel, marking a recent high.

The Yuan Big S&P Oil ETF tracks the 'S&P GSCI Crude Oil Enhanced Excess Return Index' and currently manages approximately $280 million in assets. Fueled by the oil price surge, the ETF rose nearly 5% intraday, reaching a peak of NT$30.26 per share.

The Jie Kou Brent 2x ETF tracks the 'S&P GSCI Brent Crude 2X Leveraged ER Index' and holds $589.5 million in assets. Leveraged exposure amplified gains, with the ETF surging nearly 6% intraday, peaking at NT$55.5. Trading remained extremely active before noon, with volume surpassing 10,000 lots.

Analysts note that the Strait of Hormuz and Bab-el-Mandeb Strait together carry about one-quarter of global crude oil shipments. If geopolitical conflicts remain unresolved, supply chain tensions are unlikely to ease in the short term, potentially prolonging high volatility in international oil prices. This could further boost trading activity in domestic crude oil-related products.