Energy stocks drop as OPEC+ deal pressures crude to fall below $70 mark

Big Sky Industrial

19/07/2021 15:56

(Updates)
    ** S&P 500 Energy Index  .SPNY  declines 4.4% as crude
prices fall below $70/barrel mark
    ** OPEC+ overcame internal divisions and agreed to boost
output, causing concern about a crude surplus as COVID-19
infections rise in many countries  O/R 
    ** West Texas Intermediate  CLc1  futures fall 6.1% to
$67.46/barrel, while Brent crude declines 5.5% to $69.63/barrel
    ** ONEOK Inc  OKE.N , Schlumberger  SLB.N , Marathon Oil
Corp  MRO.N , Diamondback Energy Inc  FANG.O  and Occidental
Petroleum Corp  OXY.N  drop between 6% and 7.1%, among the top
pct decliners on the energy sector
    ** OXY also among top pct decliners on the S&P 500 Index
 .SPNY 
    ** Oil major ExxonMobil Corp  XOM.N  slides 4.1%, while peer
Chevron Corp  CVX.N  weakens 3.5%
    ** Refiner Marathon Petroleum Corp  MPC.N  and Valero Energy
  VLO.N  Corp down 5.4% each; Phillips 66  PSX.N  is 4.6% lower
and HollyFrontier Corp  HFC.N  declines 4.4%
    ** "The focus will be on market reaction to the weekend
OPEC+ agreement to increase production by 400,000 barrels every
month until the end of the year" - Marc Ostwald, chief economist
& global strategist at ADM Investor Services International
    ** Broader market also down as Wall Street's main indexes
fall more than 1% with economically sensitive and travel stocks
leading declines  .N 

 (Reporting by Aaron Saldanha and Arunima Kumar in Bengaluru)
 ((Aaron.Saldanha@thomsonreuters.com; +91 80 6182 2844))