Crude Oil Prices Soar

Although natural gas inventories are above the five-year average range, they don't appear to be offsetting the decline in imports from Canada that are due to declining production there. "That will mean futures market tightness," says John Herrlin, energy analyst at Merrill Lynch.

As for stocks, energy shares were broadly higher. The iPath Goldman Sachs Crude Oil (OIL Quote) ETF advanced 2.9% to close at $36.62.

ConocoPhillips (COP Quote) rose 2.3% to close at $68.68. Chevron (CVX Quote) rose 2.2% to $72.93, and Exxon Mobil(XOM Quote) gained 1.5% to $74.36.

MDU Resources (MDU Quote) was upgraded by KeyBanc Capital Markets to buy from hold, and its stock was up 2.1% at $27.94.

Refinery firm Alon USA Energy (ALJ Quote) was upgraded by Credit Suisse to outperform from neutral, and its target stock price was bumped to $41 a share from $32 a share. Alon USA traded 5.8% higher at $35.93.

Gulmark Offshore (GMRK Quote) was downgraded by Capital One Southcoast to hold from buy, and it fell 0.9%; Citigroup downgraded Allegheny Energy (AYE Quote) to hold from buy, sending its shares 1.4% lower.