NEW YORK (TheStreet) -- Shares of Continental Resources Inc. (CLR) are higher by 6.91% to $33.09 in early afternoon trading today, as the energy sector gets a boost from Spanish energy company Repsol SA's $8.3 billion agreement to acquire Talisman Energy (TLM) .
Additionally, light, sweet Brent crude for January delivery rose as high as 1.5% to $56.87 on the New York Mercantile Exchange on Tuesday, after hitting its lowest level in over five years, MarketWatch reports.
"We are starting to see a bottom here, and we are getting some value buying," an oil consultant with Frost & Sullivan told MarketWatch.
The buying is likely coming from physical oil buyers, like refineries, which can store the oil purchased at the reduced prices. However, this kind of buying can come in waves and may not be enough to sustain a rally in prices, the consultant added.
Earlier in the day oil prices had dropped following the interest rate increase in Russia, and a continual slowdown in China's manufacturing sector, MarketWatch noted.
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Separately, TheStreet Ratings team rates CONTINENTAL RESOURCES INC as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate CONTINENTAL RESOURCES INC (CLR) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, expanding profit margins, good cash flow from operations, impressive record of earnings per share growth and compelling growth in net income. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated."