Why Oil Stocks ExxonMobil, Phillips 66, and Marathon Oil Were Higher Today
Oil stocks were gaining broadly today as the stock market jumped to start the fourth quarter, and as the price of oil rose on signs that OPEC+, which includes Russia, may cut its daily production.
Crude oil futures rose 5% on the day, and Treasury yields were down sharply in response to the U.K.'s plan to reverse a tax cut and on news that Credit Suisse's financial health could be in doubt. With the 10-year Treasury yield falling 4%, stock prices soared as falling yields tend to be bullish for stock prices, especially as investors have been nervous about rising interest rates.
Responding to the increase in oil prices and broader bullish momentum, ExxonMobil (NYSE: XOM) closed up 5.3%; Phillips 66 (NYSE: PSX) gained 4.8%, and Marathon Oil (NYSE: MRO) jumped 10.6%.
Source Fool.com
