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Sector Update: Energy Stocks Fall Late Afternoon

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Energy stocks were lower late Wednesday afternoon, with the NYSE Energy Sector Index falling 1.8% and the State Street Energy Select Sector SPDR ETF (XLE) dropping 2.1%.

The Philadelphia Oil Service Sector Index declined 2.3%, and the Dow Jones US Utilities Index shed 1.1%.

In geopolitical news, the US, Iran and Oman are moving toward an interim deal to reopen the Strait of Hormuz, with Washington looking at a Wednesday announcement, Axios reported, citing two regional sources and a US official. President Donald Trump reportedly said late Tuesday that an agreement to reopen the strait, the world's most important chokepoint for crude flows, was imminent. Meanwhile, Yemen's Iran-aligned Houthis claimed an attack on a Saudi Arabian tanker near the coast of Yanbu, a major port for Saudi crude oil exports, according to a CNBC report.

Front-month West Texas Intermediate crude oil fell 0.7% to $75.23 a barrel, and the global benchmark Brent crude contract rose 0.2% to $79.50 a barrel. Henry Hub natural gas futures shed 0.4% to $2.67 per 1 million BTU.

US crude oil stocks, including those in the Strategic Petroleum Reserve, fell by 400,000 barrels in the week ended July 31 following a decrease of 11.0 million barrels in the previous week. Excluding inventories in the SPR, commercial crude oil stocks rose by 2.5 million barrels after a 7.2-million-barrel decline in the previous week, compared with the 1.5-million-barrel decrease expected in a survey compiled by Bloomberg.

In corporate news, Constellation Energy (CEG) said Wednesday its board has elected Chief Executive Officer and President Joe Dominguez as chairman. Constellation shares were down 0.9%.

Gran Tierra Energy (GTE) shares surged 36% after the company said Wednesday it agreed to sell its oil business in Colombia and Ecuador to Paris-listed Etablissements Maurel & Prom for an enterprise value of $1.33 billion.

BP's (BP) push to boost its balance sheet is set to pick up speed in H2, helped by firmer refining margins and ongoing asset sales, RBC Capital Markets said in a note. BP shares were down 3%.

Natural Resource Partners (NRP) shares jumped past 8% after it reported its Q2 results.

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Sector Update: Energy Stocks Decline Late Afternoon

Energy stocks were lower late Tuesday afternoon, with the NYSE Energy Sector Index decreasing 0.9% and the State Street Energy Select Sector SPDR ETF (XLE) down 0.5%.The Philadelphia Oil Service Sector Index was climbing 3.5%, and the Dow Jones US Utilities Index was shedding 0.6%.The US and Iran could reach a deal Tuesday or Wednesday to reopen the Strait of Hormuz for commercial ships, Treasury Secretary Scott Bessent said Tuesday in an interview with CNBC.Front-month West Texas Intermediate crude oil fell 5.7% to $75.74 a barrel, and the global benchmark Brent crude contract dropped 5.2% to $79.39 a barrel. Henry Hub natural gas futures declined 3.8% to $2.68 per 1 million BTU.In corporate news, NRG Energy (NRG) shares fell past 16%. The company reported Q2 adjusted earnings Tuesday of $1.49 per share, down from $1.73 a year earlier. Analysts polled by FactSet expected $1.69.BP (BP) reported Q2 underlying replacement cost profit Tuesday of $2.22 per American depositary share, up from $0.90 a year earlier. Separately, BP said Tuesday it plans to sell its US biogas business Archaea after making progress in strengthening its balance sheet and taking steps to simplify the company. BP shares were down 3.9%.Energy Transfer (ET) shares were up 0.5% after the company posted higher Q2 earnings and revenue.Duke Energy (DUK) reported Q2 adjusted earnings Tuesday of $1.43 per share, up from $1.25 a year earlier. Analysts polled by FactSet expected $1.30. Duke shares rose 0.1%.

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Sectors

Sector Update: Financial Stocks Rise Late Afternoon

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Sector Update: Consumer Stocks Advance Late Afternoon

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