Trump's Tariffs Shake Energy Markets: 3 U.S. Stocks Poised to Gain

Group 1: Tariff Impact on Energy Markets - U.S. President Donald Trump's tariffs include a 25% tariff on Canadian and Mexican exports and a 10% levy on Chinese imports, aimed at addressing illegal immigration and drug trade concerns, leading to volatility in commodity and energy markets [1] - Goldman Sachs predicts that Canadian oil producers will face a $3-$4 per barrel widening of the Canadian crude discount due to limited alternative export routes, while U.S. refiners and consumers will see an additional cost burden of $2-$3 per barrel [2] - The energy sector, being a major consumer of steel and aluminum, may experience slowed infrastructure projects and reduced profitability due to higher raw material costs from tariffs [5] Group 2: Natural Gas Market Effects - The impact on natural gas exports is expected to be more muted, with Goldman Sachs forecasting a modest decline of 0.16 billion cubic feet per day in Canadian natural gas exports to the United States due to the tariffs [3] Group 3: Potential Benefits for U.S. Oil Producers - Tariffs on foreign oil imports may make domestically produced crude more attractive, potentially benefiting shale producers as refiners seek alternatives within the country [6] Group 4: U.S. Energy Companies Positioned to Benefit - EOG Resources, Cheniere Energy, and Exxon Mobil Corporation are identified as U.S. energy companies likely to gain from the evolving tariff landscape, with EOG Resources currently holding a Zacks Rank 2 (Buy) and the other two holding a Zacks Rank 3 (Hold) [7] - EOG Resources focuses on high-efficiency production, particularly in the Permian and other shale basins, with a market capitalization of around $71.1 billion and shares rising 14.5$51.5 billion and shares climbing 42.4% over the past year [9] - ExxonMobil, with a market capitalization of about $470.7 billion and shares rising 7.5% over the past year, is well-positioned to benefit from constrained Canadian crude imports, particularly in its upstream operations in the Permian Basin [10]