Top Energy Stocks
Energy stocks were edging lower, with the NYSE Energy Sector Index slipping just over 0.1% while shares of energy companies in the S&P 500 were down slightly less than 0.1% as a group. Crude oil for February delivery was rising $1.00 to $62.73 per barrel in New York while the benchmark Brent crude March contract was 73 cents higher at $68.51. February natural gas futures were up 4 cents at $2.88 per 1 million BTU. Among energy-related ETFs, United States Oil was up nearly 1.2% while United States Natural Gas was up almost 1.4%. Also, the Philadephia oil-service sector index was falling over 0.7%.
In industry news:
Oil prices strengthened Tuesday, nearly retesting new three-year highs above $62 per barrel established last week as trader focus returned to shrinking global inventories and ongoing supply restrictions. An estimated 1.8 million barrels of supply is being kept out of the market each day as exporters cut back on production while expectations US shale-oil producers will increase their output to offset those cuts have not yet proven true.
Among energy stocks moving on news:
Oceaneering International ( OII ) fell on Tuesday, sinking almost 6% to a session low of $22.14 a share, despite the marine oilfield-services company saying it has secured a new contract to supply dynamic and static control umbilicals for the Johan Castberg project in the Barents Sea for Statoil Petroleum AS ( STO ). The contract calls for around 39 kilometers, or about 24 miles, of umbilicals plus associated hardware, the company said. It did not provide the financial value of the deal.
In other sector news:
+ CNX Resources ( CNX ) rose after the oil and natural gas producer disclosed plans for a 2018 capital budget of between $790 million to $880 million.
- Air Products ( APD ) fell Tuesday after the industrial gases company said it is acquiring Royal Dutch Shell's (RDS-A, RDS-B) coal gasification technology business and its patent portfolio for liquids and residue gasification. Financial terms of the transaction were not disclosed.
- Gevo ( GEVO ) declined after HC Wainwright cut its investment opinion for the bio-fuels company to Neutral From Buy and set a $12 price target for the stock.
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