This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Crude Oil Slumps to $84 a Barrel

Stocks in this article: XOM CVX COP

NEW YORK ( TheStreet) -- Crude oil prices slumped to $84 a barrel Monday as a stronger greenback made dollar-priced commodities less attractive to foreign buyers.

Although the June delivery contract for crude traded as high as $85.63 on Monday, it finished only a little higher than its lowest point of the session: $84.06. The contract lost 92 cents, or 1.1%, to settle at $84.20 a barrel -- a disappointing turn after its performance on Friday, when it added $1.42 to settle at $85.12 a barrel on surging new-home sales and strong durable goods orders.

A strong U.S. dollar, which was trading 0.3% higher against a basket of foreign currencies for most of the session, was putting some downward pressure on crude. The dollar index was last up by 0.1%. The dollar was picking up against the euro, in particular, as concerns arose about how and when a financial rescue package to aid Greece will become ratified.

Stocks failed to establish a clear direction Monday. The Dow spent the session in positive territory, supported by strong earnings results from Caterpillar (CAT) while other major U.S. indices were pressured by concerns about tightened financial regulations.

Oil-related stocks were moving both above and below the flat line, with the NYSE Arca Oil index losing 0.5% and the Philadelphia Oil Service Sector index dropping 0.4%. Exxon Mobil (XOM - Get Report) and ConocoPhillips (COP - Get Report) were the only oil majors to close slightly ahead Monday.

This week is a big one for major oil firms, which are set to report earnings news. National Oilwell Varco (NOV) and Valero (VLO - Get Report) will report before Tuesday's opening bell.

On Wednesday, Hess (HES) will offer its first-quarter assessment in the morning.

Integrated majors ConocoPhillips and Exxon Mobil will be joined by Apache (APA), Smith International (SII) and BJ Services (BJS) in reporting Thursday morning. By the late afternoon, the market will hear from refiners Sunoco (SUN - Get Report) and Tesoro (TSO), which are each expected to report losses.

Dow component Chevron will cap the week's oil-related releases by reporting Friday.

Shares of Schlumberger (SLB), which received a price target and earnings estimate lift at Citi , added a penny, or 0.01%, at $72.69.

Elsewhere, workers were attempting to contain an oil leak off the Gulf of Mexico, according to multiple reports, that is unleashing some 1,000 barrels of oil a day into the water. The spill began after an oil rig controlled by Transocean (RIG), which was then leased out to BP (BP), experienced an explosion and sunk late last week. The Associated Press reported the leak could take months to completely fix.

Shares of natural gas alternative fuel provider Clean Energy Fuels (CLNE - Get Report) lost 9% as the climate bill stalled in Washington.

Elsewhere, the natural gas contract for May delivery gained nearly a penny, or 0.1%, to settle at $4.26 per million British thermal units. The June heating oil contract shed a penny, or 0.6%, to settle at $2.24 a gallon, while June gasoline also lost a penny, or 0.6%, to settle at $2.35 a gallon.

--Written by Sung Moss and Melinda Peer in New York.

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,416.85 +225.48 1.31%
S&P 500 2,021.25 +19.09 0.95%
NASDAQ 4,683.4070 +45.4130 0.98%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs