ASX 200 energy shares led the market with the S&P/ASX 200 Energy Index (ASX: XEJ) touching a new 52-week high on Friday.
The energy index lifted 6.1% to a 52-week peak of 8,743.2 points amid a 7%-plus surge in the Brent and WTI oil prices today.
The S&P/ASX 200 Utilities Index (ASX: XUJ) also had a fantastic day, rising 4.9% to an all-time record high of 9,710.7 points.
Several ASX 200 energy shares shot the lights out on Friday.
The Karoon Energy Ltd (ASX: KAR) share price was the fastest riser of the ASX 200 Index today.
Karoon Energy shares rose 11.2% to a 52-week peak of $1.99 amid no company-specific news from the oil and gas explorer today.
The energy sector's largest share by market cap, Woodside Energy Group Ltd (ASX: WDS), was the second fastest riser today.
The Woodside share price rose 10.3% to an intraday peak and a 3-month high of $25.88.
Another ASX 200 energy major, Santos Ltd (ASX: STO), also surged with its share price reaching $7.09, up 5.7%, at its intraday peak.
The strongest performer of the utilities sector today was Origin Energy Ltd (ASX: ORG).
Origin Energy shares lifted 7.4% to a 10-year high of $11.58.
Origin was the fifth-best performer among ASX 200 shares on Friday.
Meanwhile, the broader market was in the red.
The S&P/ASX 200 Index (ASX: XJO) closed 0.21% down at 8,547.4 points.
Image source: Getty Images
What drove ASX 200 energy shares higher on Friday?
Energy commodity prices pushed ASX 200 energy shares higher today amid Israel's preemptive strike against Iran.
At the time of writing, Brent crude futures are trading up 7.8% at US$74.70 per barrel.
The Brent oil price went as high as US$76 per barrel today, its highest price since February.
The US West Texas Intermediate crude oil price is up 8.25% at $73.65 per barrel.
The WTI crude oil price went to $75 per barrel in earlier trading, which is its highest level since January.
Trading Economics analysts explained what's happening:
Israel declared a special situation, suggesting Iran could soon retaliate against Israeli targets, fueling concerns over escalating tensions.
The prospect of a broader Middle East conflict threatens to disrupt the Strait of Hormuz, a key route for about 20% of global oil flows.
Adding to geopolitical risks, the US is preparing a partial evacuation of personnel from the region after Iran threatened to target US bases if nuclear talks fail.
Oil price on track for 'best performance since 2022'
The analysts said oil prices were further supported by data showing US crude stocks dropped more than expected last week.
This signals strong demand.
Softer US inflation has also raised expectations of further interest rate cuts, which often spurs economic growth and oil consumption.
The analysts said oil prices are on track for their best week since late February 2022.
All of this bodes well for ASX 200 energy shares.
