Investing.com - Energy stocks rallied in midday trading as oil bulls overcame a bigger-than-expected rise in oil inventories and presidential jawboning to push prices higher.
The S&P 500 Energy index rose about 2.3% at 11:55 AM ET (16:55 GMT).
WTI futures rose more than 4%, rebounding from a 7% plunge the day before. Prices found support even after the EIA said crude stockpiles rose more than expected last week, further underscoring the case that the oil market is well, if not over-, supplied.
Earlier on Wednesday President Donald Trump thanked Saudi Arabia for the decline in prices. Trump said yesterday the U.S. would take no further action against the country in response to the murder of journalist Jamal Khashoggi.
Among top gainers in the energy sector were Newfield Exploration (NYSE:NFX), up about 6% and Apache (NYSE:APA), which gained about 5%.
Exxon (NYSE:XOM) rose about 1.7%, while Chevron (NYSE:CVX) was up 2.2% and Valero Energy (NYSE:VLO) increased 2.3%. Cabot Oil (NYSE:COG) gained about 2.4% and Devon Energy (NYSE:DVN) jumped 4.4%.