NINE - Oil company stocks surge as U.S. crude prices pop well past $70/bbl

2023-03-27 16:30:38 ET

Energy stocks ( NYSEARCA: XLE ) traded at the top of the S&P sector leaderboard Monday as crude oil prices rallied, helped by easing worries over the U.S. banking sector and as Iraq was forced to stop some of its crude exports from the Kurdistan region.

Front-month Nymex crude ( CL1:COM ) for May delivery settled +5.1% to $72.81/bbl, snapping a two-session losing streak with its largest one-day percentage gain since October 3, and May Brent crude ( CO1:COM ) closed +4.1% to $78.12/bbl.

ETFs: ( XLE ), ( NYSEARCA: XOP ), ( VDE ), ( OIH ), ( NYSEARCA: USO ), ( BNO ), ( UCO ), ( SCO ), ( DBO ), ( USL ), ( DRIP ), ( GUSH ), ( USOI ), ( NRGU )

The top energy movers on the S&P 500 were Schlumberger ( SLB ) +5% , Hess ( HES ) +3.6% , Targa Resources ( TRGP ) +3.5% , Marathon Petroleum ( MPC ) +3.4% and Devon Energy ( DVN ) +3.2% .

Some of the day's strongest gainers included Nine Energy Services ( NINE ) +11.7% , NGL Energy Partners ( NGL ) +11.1% , KLX Energy Services ( KLXE ) +9% , Transocean ( RIG ) +8.7% , Vertex Energy ( VTNR ) +8.7% , SilverBow Resources ( SBOW ) +7.7% , CVR Energy ( CVI ) +5.9% , Callon Petroleum ( CPE ) +5.5% , SM Energy ( SM ) +5.4% , Delek US Holdings ( DK ) +5.2% .

Concerns about the global banking system were eased as First Citizens BancShares said it will acquire the deposits and loans of the failed Silicon Valley Bank.

Meanwhile, roughly one-half of 1% of global oil supply, or 450K bbl/day, of crude exports from Kurdistan stopped on Saturday after a ruling in an arbitration case confirmed Iraq's consent was needed to ship the region's oil from Turkey.

Fears that banking troubles could turn into a full-fledged crisis caused crude oil prices to plunge to 15-month lows earlier this month .

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