Lower crude prices weigh on US energy companies

Marathon Oil

15/10/2024 14:02

(Updates)
    ** Shares of U.S. energy companies slide premarket as oil
prices drop nearly 4%
    ** Oil prices tumbled to their lowest since early October
due to a weaker demand outlook and easing fears of a supply
disruption amid the Iran-Israel conflict  O/R 
    ** Exxon Mobil  XOM.N  down 2.6%, Chevron  CVX.N  falls 2.3%
and SLB  SLB.N  dips around 3.1% 
    ** Biggest falls include producers Devon Energy  DVN.N , APA
Corp  APA.O  and Diamondback Energy  FANG.O  dropping between
2.9% and 3.6%
    ** Refiners PBF Energy  PBF.N , Marathon Oil  MRO.N  and
Phillips 66  PSX.N  fall between 1.8% and 2.7% 
    ** Other oilfield services companies fall between 1.9% and
3.5%
    ** "While geopolitical tensions could continue to lend some
support and prevent sharper declines, sluggish economic growth
in the euro zone and China suggests a volatile and potentially
bearish outlook for crude prices in the near term," says Joseph
Dahrieh, managing principal at Tickmill
    ** "The next moves will hinge on whether the market believes
this new conciliatory political speak, and if it does ... this
will not be the end of lower prices," notes John Evans, analyst
at oil broker PVM, referring to media report of Israel telling
U.S. it would not strike Iranian oil targets

 (Reporting by Paolo Laudani and Seher Dareen)
 ((Paolo.laudani@thomsonreuters.com))