Oil prices continue to consolidate, as Brent struggles to top US$70
Today's energy and equity market action:
- Another quiet day in energy and equity markets on Thursday.
- Brent briefly touched US$70, but gave back most of the gains by the end of the day. WTI slipped 0.6%.
- Canadian Light and Western Canadian Select (WCS) also declined 0.4% and 0.7%, respectively. Differentials were little changed for the day.
- In US equity markets, the NYSE gained 0.3% while the S&P 500 rose 0.2%.
- The SPX energy sector gained 0.9%, reversing most of yesterday's losses.
- In Toronto, the TSX also rose 0.3%, helped by a 0.5% increase in Canadian energy stocks.
Today's notable energy news:
- Credit rating agency Moody’s Investors Service downgraded TransCanada's debt rating from A3 to Baa1. The ratings agency says the pipeline operator's financial profile "has been weak for several years," due in part to challenges in execution, delays in earnings growth and cost-overruns. Moody's also warns that Keystone XL, if executed, could put additional pressure on the company's financial metrics. TransCanada's debt load currently sits at about $36 billion.
- Chevron won another round against its US$9.5 billion Ecuadorian judgement, after the Supreme Court of Canada rejected a request to review a lower court decision, dismissing all claims against Chevron Canada.
- Midstream player Targa Resources closed on the sale of a 45% stake in Targa Badlands to a private equity firm for US$1.6 billion in cash.
- Enlink Midstream announced plans to issue US$500 million in Senior Notes, net proceeds of which will mostly be used to repay funds borrowed under its revolving credit facility,
- Total announced plans to issue 14.8 million new shares, after shareholders voted to receive their 2018 interim dividend in stock rather than cash.
|Suncor Energy||SU||43.72||▲0.5||35.53||55.47||D W|
|Imperial Oil||IMO||36.15||▼-0.1||33.52||44.91||D W|
|Husky Energy||HSE||13.36||▼-0.4||13.21||22.99||D W|
|Pembina Pipeline||PPL||49.70||▼-0.1||37.60||50.45||D W|
|Inter Pipeline||IPL||21.98||▼-0.3||18.60||25.66||D W|
|Gibson Energy||GEI||23.26||▼-1.9||15.90||23.75||D W|
|LARGE CAP E&P|
|Cdn Natural Res||CNQ||37.00||▼0.0||30.11||49.08||D W|
|Cenovus Energy||CVE||12.02||▲0.6||8.74||14.84||D W|
|Vermilion Energy||VET||32.78||▼-0.5||26.67||49.67||D W|
|Pason Systems||PSI||20.07||▲0.5||16.79||24.57||D W|
|Mullen Group||MTL||12.09||▲0.1||11.26||16.93||D W|
|Secure Energy||SES||8.41||▲0.7||6.25||9.44||D W|
|REFINING & MARKETING|
|Parkland Fuel||PKI||40.47||▼-0.8||27.96||47.45||D W|
|Exxon Mobil||XOM||82.05||▲1.4||64.65||87.36||D W|
|Kinder Morgan||KMI||19.92||▲0.2||14.62||20.44||D W|
|Williams Co||WMB||28.82||▼-0.3||20.36||32.22||D W|
|LARGE CAP E&P|
|EOG Resources||EOG||93.67||▼-0.3||82.04||133.53||D W|
|Occidental Petro||OXY||66.44||▲0.6||56.83||87.67||D W|
|Anadarko Petro||APC||45.06||▲1.3||40.40||76.70||D W|
|Pioneer Natural Res||PXD||147.52||▲1.0||119.08||213.40||D W|
|Baker Hughes||BHGE||26.77||▲1.1||20.09||37.76||D W|
|Ntl-Oilwell Varco||NOV||27.38||▲0.4||24.27||49.08||D W|
|Marathon Petro||MPC||61.35||▲1.6||54.29||88.45||D W|
|Phillips 66||PSX||96.86||▲1.9||78.44||123.97||D W|
|Valero Energy||VLO||84.35||▲0.1||68.81||126.98||D W|
EOG Resources (EOG): Upgraded from Hold to Buy at Tudor Pickering.
RPC (RES): Upgraded from Underweight to Overweight at Morgan Stanley.
Whitecap Resources (WCP.TO): Upgraded from Hold to Buy at Tudor Pickering.
Advantage Oil & Gas (AAV.TO): Downgraded from Buy to Hold at Tudor Pickering.
UPDATED: DAILY (END-OF-DAY)
• OIL PRICES REFLECT NEAR MONTH CONTRACT FROM THE NYMEX/CME GROUP
• EQUITY PRICES PROVIDED BY NYSE & TMX GROUP
• CHARTPACKS COURTESY STOCKCHARTS.COM (DIVIDEND ADJUSTED)
• OIL PRICES, FUTURES AND DIFFERENTIALS IN USD/BBL
• C5+ = EDMONTON CONDENSATE
• FUTURES CURVES SHOW PRICES FOR NEAR-MONTH CONTRACT (C1) AND NEXT 5-MONTHS (C2-C6)
• TSX SHARE PRICES IN CAD; S&P 500 PRICES IN USD
• ADR: AMERICAN DEPOSITORY RECEIPTS LISTED ON NYSE IN USD
• SHARE PRICE CHANGES (INCL. NEW HIGHS & LOWS) EXCLUDE DIVIDENDS