Occidental Petroleum Corp's stock advanced on Friday as the ongoing conflict between the U.S., Israel, and Iran entered its seventh day, fueling heightened market concerns. Reports of an Iranian attack on an oil tanker near Kuwait further escalated tensions.

The tanker incident amplified regional risks. According to the UK Maritime Trade Operations, the vessel's captain reported a large explosion on the port side, after which a small speedboat was seen speeding away. The ship began taking on water, and an oil spill was observed, though no fire broke out and the crew remained safe.

This event worsened an already tense regional situation. Iran has closed the Strait of Hormuz and warned it will target any vessels attempting to pass through. The closure of the strait has driven up global oil prices.

The shutdown of the Strait of Hormuz has sparked supply concerns. Approximately 20% of the world's oil supply passes through the strait. Iran's control over the waterway gives it significant influence over global oil shipments, and a prolonged closure has severely disrupted supplies.

The U.S. Treasury Department granted India a temporary exemption to continue purchasing Russian oil, a move intended to prevent further tightening of global supplies, highlighting the seriousness of the situation. India relies heavily on imported crude, much of it from the Middle East, making it particularly vulnerable to disruptions from the strait's closure.