Yahoo Finance Energy Stocks in Spotlight on Sino-US Trade War Truce
Major U.S. stock market indexes jumped as investors expect Washington and Beijing to enter into an accord that will be ease the trade tensions between the economies. Notably, the Energy sector contributed the maximum to the S&P 500 index, followed by Financials.
Phase-One Trade Deal
The United States and China have reportedly agreed a phase-one trade agreement in principle. However, the deal awaits consent from President Donald Trump.
Importantly, the Trump administration has agreed to avert duties of 15% on $160 billion of consumer goods from China that were scheduled to take effect on Dec 15, per CNBC. The United States has also decided to slash the existing tariff by 50% on $360 billion of Chinese products, added CNBC. Reportedly, the Trump administration wants China to buy more of its agricultural products.
Energy Stocks to Gain
Optimism in the trade war front is likely to prove favorable for upstream energy players and oilfield service providers. Moreover, there is room for oil prices increase as the possibility of a trade deal will boost the global energy demand. Currently, West Texas Intermediate is approaching $60 per barrel.
Investors should know that higher oil prices will encourage explorers to produce more of the commodity, while the oilfield service firms are likely to get more contracts from upstream energy players.
Oilfield service players that have gained considerably owing to trade optimism include Halliburton Company HAL. The stock carries a Zacks Rank #3 (Hold) and has gained 3.9% on Dec 12. Oil and gas explorers that have gained considerably are EOG Resources, Inc. EOG, Marathon Oil Corp. MRO and Devon Energy Corp. DVN at 2.7%, 3.3% and 2.8%, respectively.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Breakout Biotech Stocks with Triple-Digit Profit Potential
The biotech sector is projected to surge beyond $775 billion by 2024 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases.
Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Our recent biotech recommendations have produced gains of +98%, +119% and +164% in as little as 1 month. The stocks in this report could perform even better.
See these 7 breakthrough stocks now>>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Halliburton Company (HAL) : Free Stock Analysis Report
Devon Energy Corporation (DVN) : Free Stock Analysis Report
EOG Resources, Inc. (EOG) : Free Stock Analysis Report
Marathon Oil Corporation (MRO) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
