Crude Oil, Energy Stocks Rise on OPEC Inaction

Posted by Adam Sharp - Wednesday, June 8th, 2011

OPEC members, who account for 40% of world oil production, were unable to reach an agreement on increasing production quotas. Many had hoped they would significantly boost output, cooling energy prices. No such luck.

Oil spiked back above $100/barrel, up by 2.5% at 1:00pm eastern. Exxon Mobil (XOM) shares traded up 1.4%, Chevron (CVX) 1%, Conoco Phillips (COP) 1.24%.

In the clip below, Fadal Gheit, an energy analyst at Oppenheimer, breaks down the impact of the OPEC news, and the outlook for oil.


More like this...

Mideast Oil is Risky Business
When I read half of Libya's oil production had been shut down after the latest unrest, I couldn't help but wonder how much further the volatility could take prices.

Peak Oil Hits Norway
The close-to-port, easy flowing, sweet stuff is getting increasingly scarce. That means higher refining costs as lesser types of crude oil (like oil sands and bitumen) are switched to.

The Potential for Shale Oil in America
American oil production peaked in the 1970's. Is there hope for energy independence in shale oil?

Emerging Natural Gas Stocks
Keith Kohl explains why natural gas is one of the answers to reducing our foreign oil addiction.

OPEC By The Numbers
This infographic from breaks down the global oil market in an easy to understand fashion.

Silver Pandas