eNergy Stocks: Broader market concerns override higher oil prices

Two of the three major energy indexes fell Thursday, erasing slim gains late in the session as broader market concerns continued to override bullish commodity indicators that pushed oil prices higher.

The Amex Oil Index (XOI : 1,141.74, -1.68, -0.1% ) fell 0.2% to 1,141.74 points as crude for April delivery rose 21 cents to $62 a barrel. The Amex Natural Gas Index (XNG : 453.98, -1.44, -0.3% ) slipped 0.3% to 453.98 points as natural gas fell 0.2% to $7.28 per million British thermal units. The Philadelphia Oil Service Index ($OSX : 0.00, 0.00, 0.0% ) was the sole bright spot, rising 0.7% to 198.34 points.

Oil finished higher for the seventh consecutive session, propped by falling U.S. oil-product inventories and a climb in the nation's manufacturing activity. See Futures Movers.
Since this week's sharp sell-off, triggered Tuesday by a steep decline in China's Shanghai stock market, energy shares have increasingly tracked broader market movements than commodity prices.

The Dow Jones Industrial Average (DJIA : , , ) was down 0.3% to 12,234.34 points. The market rebounded somewhat after news that the nation's manufacturers increased production in February, against expectations for further contraction in the manufacturing sector. See Market Snapshot.

Stocks had opened sharply lower as jitters about Asian markets, distressed money lenders and growth concerns returned to haunt the market, only two days after stocks suffered their worst 1-day performance since 2001.

On the oil index, losses among the major oil companies, or those most with the most international exposure, continued to lead the decline.

Chevron Corp. (CVX : 67.60, -0.92, -1.3% ) fell 1.3% to $67.60. European refiners BP (BP :61.06, -0.48, -0.8% ) and Total (TOT : 66.32, -1.00, -1.5% ) were off 0.8% and 1.5%, respectively. Exxon Mobil Corp. (XOM :70.99, -0.69, -1.0% ) , the world's largest publicly traded oil company, fell 1% to $70.99 and has lost almost 6% since the start of the week.

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