VET - Oil Producer Stocks Getting Smashed by Today's OPEC Announcement
Independent oil producer stocks are taking it on the chin once again. At this writing, a large group of independents is down 14% or more on March 11 in early-afternoon trading, tacking even more losses onto a horrendous 2020 that's seen the group lose more than two-thirds of its value:
As of 2:00 p.m. EDT on March 11. Data source: YCharts.
Oil market news has been dominated in recent weeks by the abrupt turn from OPEC's plan to stabilize global oil markets to an all-out crude oil price war. Today, the stakes have been raised, with the United Arab Emirates announcing it would increase oil production. If that weren't enough bad news, Saudi Aramco, the state-controlled oil company that controls a vast amount of global supplies, said it would raise production to 13 million barrels per day in April.