April's US earnings season is landing in a market that wants more than a good story. JPMorgan has already set a high bar with a strong result, and attention is now shifting to the engine room of the S&P 500: AI infrastructure. Three companies are at the centre of that story.

Why this earnings window matters for AI

Microsoft, Alphabet and NVIDIA are not just participants in the AI cycle, they are building the physical and software architecture that other companies depend on: the chips, the cloud regions, the models and the tools. If this spending is going to deliver returns, the first signs may start to show in their quarterly results over the next few weeks.

Each company represents a different test.

1. Microsoft: Whether enterprise AI adoption is translating into revenue and margin expansion
2. Alphabet: Whether owning the full stack, from chips to cloud to distribution, is a durable advantage or simply an expensive position to defend
3. NVIDIA: Whether the hardware cycle is still holding, accelerating or starting to level out

In 2026, the question is no longer whether AI investment is happening, the capital commitments are substantial and already publicly stated. The question is whether that spending is generating returns quickly enough to justify the scale of those bets.

April’s US earnings season is landing in a market that wants more than a good story. As GO Markets highlighted in its recent defence earnings watchlist, this reporting period is arriving after a broader shift in what markets care about. It is no longer just about growth at any cost. Traders want to know what the numbers are saying beneath the surface.

Why these 3 names matter

In this part of the market, that brings Tesla, NextEra Energy and Exxon Mobil into focus. Each offers a different read on a key 2026 theme: autonomy, electricity demand and oil supply risk.

1. ‍Tesla: Is being judged on whether autonomy and energy can support the next stage of growth
2. NextEra: Offers a window into rising power demand and the infrastructure needed to meet it
3. Exxon Mobil: Sits at the centre of the oil and energy security story as supply risks stay in focus

Taken together, these three names help explain where attention may be shifting. The question is no longer just who has the strongest narrative, rather, who can show real demand, firmer margins and execution that holds up in a more complicated backdrop.

In 2026, AI power demand is pushing utilities, storage and grid capacity into sharper focus while at the same time, oil supply risk has brought energy security back into the market conversation.

The 8 April ceasefire announcement and parallel discussions around a 45-day truce have not resolved the Strait of Hormuz disruption. They have, for now, capped the worst-case scenario, but tanker traffic remains at a fraction of normal levels and Iran's demand for transit fees signals a structural shift, not a temporary one.

What began as a regional conflict has become a global energy shock, and the question for markets is no longer whether Hormuz was disrupted, but how permanently the disruption changes the pricing floor for oil.

Key takeaways

• Around 20 million barrels per day (bpd) of oil and petroleum products normally pass through the Strait of Hormuz between Iran and Oman, equal to about one-fifth of global oil consumption and roughly 30% of global seaborne oil trade.
• This is a flow shock, not an inventory problem. Oil markets depend on continuous throughput, not static storage.
• If the disruption persists beyond a few weeks, Brent could shift from a short-term spike to a broader price shock, with stagflation risk.
• Tanker traffic through the strait fell from around 135 ships per day to fewer than 15 at the peak of disruption, a reduction of approximately 85%, with more than 150 vessels anchored, diverted, or delayed.
• A two-week ceasefire was announced on 8 April, with 45-day truce negotiations under way. Iran has separately signalled a demand for transit fees on vessels using the strait, which, if formalised, would represent a permanent geopolitical floor on energy costs.
• Markets have begun rotating away from growth and technology exposure toward energy and defence names, reflecting a view that elevated oil is becoming a structural cost rather than a temporary risk premium.

The world’s most critical oil chokepoint

The Strait of Hormuz handles roughly 20 million barrels per day of oil and petroleum products, equal to about 20% of global oil consumption and around 30% of global seaborne oil trade. With global oil demand near 104 million bpd and spare capacity limited, the market was already tightly balanced before the latest escalation.

The strait is also a critical corridor for liquefied natural gas. Around 290 million cubic metres of LNG transited the route each day on average in 2024, representing roughly 20% of global LNG trade, with Asian markets the main destination.

The International Energy Agency (IEA) has described Hormuz as the world’s most important oil transit chokepoint, noting that even partial interruptions may trigger outsized price moves. Brent crude has moved above US$100 a barrel, reflecting both physical tightness and a rising geopolitical risk premium.

Tankers idle as flows slow

Shipping and insurance data now point to strain in real time. More than 85 large crude carriers are reported to be stranded in the Persian Gulf, while more than 150 vessels have been anchored, diverted or delayed as operators reassess safety and insurance cover. That would leave an estimated 120 million to 150 million barrels of crude sitting idle at sea.

Those volumes represent only six to seven days of normal Hormuz throughput, or a little more than one day of global oil consumption.

Updated shipping and insurance data now confirm more than 150 vessels have been anchored, diverted, or delayed, up from the 85 initially reported. The 1.3 days of global consumption coverage from idle crude remains the binding constraint: this is a flow shock, not a storage problem, and the ceasefire has not yet translated into meaningfully restored throughput.

A market built on flow, not storage

Oil markets function on continuous movement. Refineries, petrochemical plants and global supply chains are calibrated to steady deliveries along predictable sea lanes. When flows through a chokepoint that carries roughly one-fifth of global oil consumption and around 30% of global seaborne oil trade are interrupted, the system can move from equilibrium to deficit within days.

Spare production capacity, largely concentrated within OPEC, is estimated at only 3 million to 5 million bpd. That falls well short of the volumes at risk if Hormuz flows are severely disrupted.

Oil market analysis

How long do idle tankers last?

135M idle barrels — days of cover against each demand benchmark

vs. Strait of Hormuz daily flow  (20M bbl/day)

6.75 days of Hormuz throughput covered

6.75 days

0

5

10

15

20

25

30 days

vs. Global oil consumption  (104M bbl/day)

1.3 days of world demand covered

1.3 days

0

5

10

15

20

25

30 days

vs. US Strategic Petroleum Reserve release  (1M bbl/day)

135 days of full SPR release pace covered

135 days — but SPR exists to replace this role

0

5

10

15

20

25

30 days

---

135M

idle barrels on tankers (midpoint of 120–150M range)

~33%

of daily Hormuz flow that is idle storage, not transit

<31 hrs

is all idle storage against global daily consumption

Sources: IEA, EIA, industry estimates. Idle crude midpoint of 120–150M bbl range used.

GO Markets

Inflation risks and macro spillovers

The inflationary impact of an oil shock typically arrives in waves. Higher fuel and energy prices may lift headline inflation quickly as petrol, diesel and power costs move higher.

Over time, higher energy costs may pass through freight, food, manufacturing and services. If the disruption persists, the combination of elevated inflation and slower growth could raise the risk of a stagflationary environment and leave central banks facing a difficult trade-off.

No easy offset, a system with little slack

What makes the current episode particularly acute is the lack of slack in the global system.

Global supply and demand near 103 million to 104 million bpd leave little spare cushion when a chokepoint handling nearly 20 million bpd, or about one-fifth of global oil consumption, is compromised. Estimated spare capacity of 3 million to 5 million bpd, mostly within OPEC, would cover only a fraction of the volumes at risk.

Alternative routes, including pipelines that bypass Hormuz and rerouted shipping, can only partly offset lost flows, and usually at higher cost and with longer lead times.

Bottom line

Until transit through the Strait of Hormuz is restored and seen as credibly secure, global oil flows are likely to remain impaired and risk premia elevated. For investors, policymakers and corporate decision-makers, the core question is whether oil can move where it needs to go, every day, without interruption.