02:06 PM EDT, 03/24/2026 (MT Newswires) -- Energy stocks were higher Tuesday afternoon, with the NYSE Energy Sector Index rising 2% and the State Street Energy Select Sector SPDR ETF (XLE) gaining 2.3%.

The Philadelphia Oil Service Sector Index added 1.5%, and the Dow Jones US Utilities Index rose 1.2%.

In sector news, oil prices resumed their rally on Tuesday amid renewed skepticism about the prospects of a de-escalation in the Middle East. Crude futures posted a sharp pullback on Monday after US President Donald Trump delayed a planned attack on Iran's energy infrastructure amid ongoing talks. Tehran denied it was in negotiations with Washington.

Israel launched new strikes on Iran, while an Iranian missile slammed into a Tel Aviv street, NBC News reported.

Saudi Arabia and the United Arab Emirates have taken steps toward joining the Iran war, The Wall Street Journal reported.

Front-month West Texas Intermediate crude oil jumped 5.6% to $93.02 a barrel, and the global benchmark Brent crude contract climbed 4.8% to $104.71 a barrel. Henry Hub natural gas futures rose 2.4% to $2.96 per 1 million BTU.

In corporate news, Chevron ( CVX ) is planning to buy an initial 20,000 barrels a day of crude oil from Sable Offshore's ( SOC ) platforms off the coast of Santa Barbara, California, Bloomberg reported Tuesday, citing a Chevron ( CVX ) executive. Sable shares jumped past 6%, and Chevron ( CVX ) rose 1.3%.

BP (BP) has been urged by the United Steelworkers union to resume collective bargaining talks, end the lockout at its Whiting refinery in Indiana, and reinstate nearly 1,000 locked-out union members. BP shares were up 2.5%.

Valero Energy ( VLO ) has shut its 380,000-barrel-per-day refinery in Port Arthur, Texas following an explosion and fire at a diesel hydrotreater unit, multiple media outlets reported late Monday. Valero shares rose 2.8%.