The Gulf accounts for 17 percent of the US crude oil production and 5 percent of its natural gas production. The area also accounts for 51 percent of the natural gas processing plant capacity. A strike to this area could mean limited supply and higher prices.
Hurricane Harvey sent gas prices up 14 cents for a 12 day period. The vicious storm shut down 25 percent of oil and gas production, which made up 5 percent of the nation's output.
In addition to oil and natural gas prices rising, we should expect a short-term spike in the auto and home building materials industries, possibly a week or 2 after.
Companies to watch include, GM , Ford, and Louisiana-Pacific . Also watch Exxon Mobile, which could be fueled into a new high. Just be careful, XOM is trending down. Always use proper stops and position sizing.