TSX energy sector wipes out all gains for 2019, as oil prices post a fourth day of losses

TSX energy sector wipes out all gains for 2019, as oil prices post a fourth day of losses

DATA SUBSCRIPTION
Sign-up for our data subscription service and get access to our complete database of oil and gas prices and energy statistics.

Today's energy and equity market update:

  • Oil prices posted a fourth consecutive day of losses on Thursday, this time blamed on the restoration of production out of the Gulf of Mexico. As of Thursday afternoon, 60 platforms remain evacuated, affecting 355,000 bbl/day of oil and 519 MMcf/day of gas.

  • Brent fell another 2.7%, falling below US$62 for the first time since mid-June. WTI declined 2.6%, ending Thursday just above US$55 a barrel, while Canadian Light fell a comparable 2.8%.

  • Western Canadian Select (WCS) fell over 4%, as its discount to WTI widened to over US$15, the highest since late May.

  • Gasoline prices also fell for a sixth day in a row, giving back another 2.5% on Thursday. Heating oil also declined 1.6%. Despite a smaller-than-expected inventory build, Henry Hub dropped another 0.7%.

  • In New York, the NYSE and S&P 500 both gained 0.4%. The TSX was little changed for the day. Energy was unchanged on the SPX, but down 1.7% on the TSX, officially wiping out all gains for 2019.

Today's notable energy news:

  • Alberta's gas producers are asking Premier Kenney to show "bold leadership" as Western Canadian gas prices remain at "extreme" lows. The CEOs of several companies, including Bellatrix Exploration, Peyto Exploration, Advantage Oil & Gas, Paramount Resources and Bonavista Energy warn jobs and capital investments are at risk, unless production is curtailed. Aside from cheaper US imports into Ontario, outages on TC Energy's Nova Gas Transmission line have caused AECO spot prices to periodically fall below zero. The companies would like to see the province coordinate voluntary production cuts during planned and unplanned pipeline outages, compensating curtailed producers with royalty credits. The UCP government is currently offering beleaguered producers a one-time tax cut of about $23 million.

  • The 220,000 bbl/day Hibernia platform off the coast of St. John's, NL, remains offline after 75 barrels of oil and water was spilled on Wednesday. The exact cause of the incident is still under investigation, although a faulty level detector is suspected. Operator ExxonMobil is working to clean-up the spill, and has yet to provide an estimated timeline for restart. Hibernia is jointly owned with Chevron, Suncor Energy, Murphy Oil, Equinor and a subsidiary of the federal government.

  • After plunging to a 3-year low due to contamination of Transneft's Druzhba export pipeline, Russia says output will be restored to its agreed quota in the second half of July. The country is therefore expected to boost crude production from the current 10.8 million bbl/day to about 11.2 million bbl/day, as per its agreement with OPEC. Russia's exports are still struggling to recover from an accidental chloride contamination last April, despite many weeks of dilution with clean crude.

  • Billionaire Seymour Schulich disclosed the purchase of another 2 million Pengrowth Energy shares, boosting his stake to 30.4%, or about 170 million shares. The shares are held within his holding company Nevada Capital Corp.

OIL PRICES - DAILY % CHANGE
WTI DIFFERENTIALS
STREAM CLOSE %CHG L 52WK H
BRENT$61.93▼2.750.47
 
86.29
WTI$55.30▼2.642.53
 
76.41
SCO$57.30▼2.525.15
 
74.46
C5+$50.75▼2.837.04
 
70.58
CDN LT$51.55▼2.820.83
 
69.32
WCS$40.20▼4.412.59
 
56.30

CRUDE OIL FUTURES CURVES
BRENT
WTI
█ JUL 18   █ JUL 11   █ JUL 4   █ JUN 27   (USD/BBL)
MARKET OVERVIEW
MARKETS
CURRENCIES & YIELDS
TSX SECTORS
TSX SECTORS - 52WK
SPX SECTORS
SPX SECTORS - 52WK
ENERGY SECTORS

TSX ENERGY SUB-SECTORS

SPX ENERGY SUB-SECTORS
TSX ENERGY STOCKS
TSX BULLISH INDICATORS
TOP 5
Precision Drilling (PD +1.9%)
CES Energy (CEU +1.5%)
Enerflex (EFX +0.7%)
Birchcliff Energy (BIR +0.7%)
Gibson Energy (GEI +0.6%)
12-MO
HIGHS
None
TSX BEARISH INDICATORS
BOTTOM
5
Vermilion Energy (VET -4.8%)
Nuvista Energy (NVA -4.2%)
Enerplus (ERF -3.8%)
MEG Energy (MEG -3.7%)
Baytex Energy (BTE -3.3%)
12-MO
LOWS
Husky Energy (HSE -1.6%)
Encana (ECA -2.4%)
Vermilion Energy (VET -4.8%)
Mullen Group (MTL -0.2%)
Baytex Energy (BTE -3.3%)
CES Energy (CEU +1.5%)
Enerplus (ERF -3.8%)
Precision Drilling (PD +1.9%)
COMPANY TICKER CLOSE %CHG L 52WK H CHART
INTEGRATED
Suncor EnergySU40.65▼-0.835.53
 
55.47D   W
Imperial OilIMO36.12▼-1.033.52
 
44.69D   W
Husky EnergyHSE11.35▼-1.611.05
 
22.99D   W
MIDSTREAM
EnbridgeENB47.29▲0.439.40
 
51.22D   W
TC EnergyTRP65.73▲0.347.90
 
67.15D   W
Pembina PipelinePPL49.51▼-0.139.15
 
50.65D   W
Inter PipelineIPL22.47▲0.018.60
 
25.35D   W
Keyera KEY34.72▼-1.324.05
 
38.91D   W
Gibson EnergyGEI23.90▲0.616.90
 
24.18D   W
LARGE CAP E&P
Cdn Natural ResCNQ33.88▼-2.530.11
 
47.93D   W
Cenovus EnergyCVE12.07▼-2.48.74
 
14.26D   W
EncanaECA5.70▼-2.45.63
 
18.54D   W
TourmalineTOU17.19▼-0.815.39
 
25.79D   W
Vermilion EnergyVET26.28▼-4.826.14
 
48.38D   W
SERVICES
Pason SystemsPSI17.83▲0.217.18
 
24.57D   W
EnerflexEFX16.89▲0.713.97
 
20.38D   W
Mullen Group MTL9.26▼-0.29.15
 
16.93D   W
ShawcorSCL17.11▲0.515.11
 
28.89D   W
Secure EnergySES6.91▲0.46.25
 
9.44D   W
REFINING & MARKETING
Parkland FuelPKI44.02▲0.131.59
 
47.45D   W
S&P 500 ENERGY STOCKS
SPX BULLISH INDICATORS
TOP 5
Marathon Petro (MPC +1.9%)
Diamondback (FANG +1.8%)
Noble Energy (NBL +1.3%)
HollyFrontier (HFC +1.3%)
Helmerich & Payne (HP +1.2%)
12-MO
HIGHS
None
SPX BEARISH INDICATORS
BOTTOM
5
Apache (APA -3.8%)
Cimarex Energy (XEC -1.4%)
Devon Energy (DVN -0.9%)
Exxon Mobil (XOM -0.9%)
Kinder Morgan (KMI -0.8%)
12-MO
LOWS
Apache (APA -3.8%)
Cimarex Energy (XEC -1.4%)
COMPANY TICKER CLOSE %CHG L 52WK H CHART
INTEGRATED
Exxon MobilXOM74.84▼-0.964.65
 
87.36D   W
ChevronCVX124.68▲0.4100.22
 
128.55D   W
MIDSTREAM
Kinder MorganKMI20.42▼-0.814.62
 
21.50D   W
Williams CoWMB27.56▼-0.620.36
 
32.22D   W
ONEOKOKE69.16▼-0.750.26
 
71.43D   W
LARGE CAP E&P
ConocoPhillipsCOP60.32▲0.956.75
 
80.24D   W
EOG ResourcesEOG85.43▲0.380.41
 
133.53D   W
Occidental PetroOXY51.01▼-0.447.00
 
84.93D   W
Anadarko PetroAPC72.97▼-0.340.40
 
76.23D   W
Pioneer Natural ResPXD136.10▼-0.2119.08
 
193.03D   W
SERVICES
SchlumbergerSLB38.78▲0.434.46
 
68.43D   W
HalliburtonHAL21.68▼-0.520.98
 
45.36D   W
Baker HughesBHGE23.31▲0.520.09
 
35.55D   W
Ntl-Oilwell VarcoNOV20.74▼-0.219.57
 
49.08D   W
TechnipFMCFTI24.94▲0.718.20
 
33.60D   W
REFINERS
Marathon PetroMPC55.36▲1.945.47
 
88.45D   W
Phillips 66PSX101.92▲1.178.44
 
123.97D   W
Valero EnergyVLO83.35▲0.268.81
 
122.42D   W
HollyFrontierHFC48.16▲1.337.73
 
76.56D   W
NYSE ADRs
COMPANY TICKER CLOSE %CHG L 52WK H CHART
Royal Dutch ShellRDS.A63.13▼-0.355.04
 
70.60D   W
TotalTOT54.45▼-0.349.70
 
65.69D   W
BPBP38.84▼-1.136.28
 
47.16D   W
EniE32.29▲0.129.75
 
39.16D   W
EquinorEQNR18.85▼-0.518.65
 
28.93D   W
ANALYST RATINGS

UPGRADES

  • Cenovus Energy (CVE.TO): Upgraded from Neutral to Outperform at CIBC.

  • Kinder Morgan Canada (KML.TO): Upgraded from Underperform to Neutral at CIBC and Credit Suisse.

DOWNGRADES

  • Carrizo Oil & Gas (CRZO): Downgraded from Outperform to Market Perform at Northland Securities.

  • Exxon Mobil (XOM): Downgraded from Outperform to Sector Perform at RBC.

  • Kinder Morgan Canada (KML.TO): Downgraded from Outperform to Neutral at CSFB.

  • Trican Well Service (TCW.TO): Downgraded from Outperform to Neutral at CIBC.

  • Vermilion Energy (VET.TO): Downgraded from Outperform to Sector Perform at RBC.

LATEST ENERGY NEWS

UPDATED: DAILY (END-OF-DAY)

SOURCES:
• OIL PRICES REFLECT NEAR MONTH CONTRACT FROM THE NYMEX/CME GROUP
• EQUITY PRICES PROVIDED BY NYSE & TMX GROUP
• PRICE CHARTS PROVIDED BY STOCKCHARTS.COM ARE DIVIDEND ADJUSTED

NOTES:
• OIL PRICES, FUTURES AND DIFFERENTIALS SHOWN IN USD/BBL
• WCS = WESTERN CANADIAN SELECT; C5+ = EDMONTON CONDENSATE; SCO = SYNTHETIC CRUDE
• FUTURES CURVES REFLECT 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
Oil prices rebound slightly on Friday, but post a big loss for the week

Oil prices rebound slightly on Friday, but post a big loss for the week

Oil prices stumble for the third day in a row

Oil prices stumble for the third day in a row