ExxonMobil: the energy stock pops as oil prices finally risePublished by Terence Mahier | Source
Energy stocks have been beaten down as demand for oil evaporated in the face of the coronavirus shutdown. Added to this pain, an all-out price/production war between Saudi Arabia and Russia drove the barrel of oil to lose more than 50% of its value since the beginning of the year 🛢😱
ExxonMobil, the American oil and gas corporation, got hit pretty much the same way losing around 50% of its market cap in 3 months 📉
Tomorrow, CEOs from at least 7 energy companies (incl. ExxonMobil) will meet with Trump to discuss energy policy...
What will come out of this & what geopolitical actions will the U.S. take to save its energy sector?🤔
This perfect storm has a lot of moving parts and ExxonMobil stock price will depend on all of them:
😷 The sharp decrease of the demand for Oil will continue as long as the world is on lockdown - but signs of recovery could help
🤝 The U.S. government could help out Energy companies like it's planning to do with Airlines, even though a "bailout" is not currently on the table...
🔥 Behind the economic challenge, there are high political stakes between Russia, the U.S. & the Middle-east. Escalating tensions could potentially lead to a shortage of Oil production and therefore a surge in Oil prices...
U.S. President Donald Trump attempted to play “moderator” between Saudi Arabia and Russia, and said on Thursday night that he was expecting a cut of 10 million to 15 million barrels. The Crude Oil price spiked on the news, bringing mechanically ExxonMobile around +5% 📈
Riyadh called for an emergency meeting of OPEC and its allies, which was supported by Iraq. But the negotiation is far from over...
- Newspill Team 💊
03-Apr 06:40 (Eastern Time)
Every weekday, we send to our community a summary of the most impactful Business/Financial news of the day - the "Daily Dose".