Woke up to oil still hanging around $111 for Brent, and here come Exxon and Chevron dropping their Q1 numbers pre-market. Analysts are calling for double-digit profit hits even with those higher crude prices juicing revenues—feels like the volatility's biting hard.

Exxon's looking at $81B in sales but EPS down to $0.98, Chevron similar at $52B and $0.97. Middle East tensions aren't helping, with supply risks keeping everyone on edge. Shares closed chill yesterday—XOM at $154.52 up a hair—but this could swing wild once the prints hit.

What I'm eyeing is the guidance on buybacks and capex. If they signal steady spending amid this $111 oil, energy sentiment could firm up before the open. But if profits disappoint more than expected, we might see a sector pullback, dragging on the broader tape.

Traders in here positioning for the volatility? Anyone fading the oil pop or hunting straddles on these? With geopolitics in the mix, this sets the tone for the energy rotation today.