MW: Energy stocks weak ahead of expected rise in supplies
By Steve Gelsi, MarketWatch
NEW YORK (MarketWatch) -- Energy stocks fell Wednesday ahead of an expected increased in petroleum supplies and after a profit warning from Halliburton on a slowdown in Mexico.
The NYSE Arca Oil Index (XOI 1,093, +1.41, +0.13%) fell 0.2% to 1,090.
The NYSE Arca Natural Gas Index (XNG 506.53, +2.05, +0.41%) dropped fractionally to 504.
The Philadelphia Oil Service Index (OSX 191.48, -1.26, -0.65%) fell 1% to 191.
Halliburton (HAL 29.64, -0.82, -2.69%) shares dropped 3% to $29.52 after the company said its fourth-quarter results will take a hit of about 2 cents a share on a slowdown in activity in Mexico.
Analysts polled by Platts expect crude supplies to have risen by 1.4 million barrels in the latest week. They also anticipate an increase of 500,000 barrels in gasoline inventories as well as no change in distillate supplies.
Late Tuesday, the American Petroleum Institute reported a surprise jump in oil inventories to 3.347 million barrels in the week ended Nov. 20. Gasoline stocks rose 1.7 million barrels, and distillate stocks fell 2.4 million barrels.
Among stocks in the spotlight, natural gas distribution specialist and electricity seller NiSource Inc. (NI 14.27, +0.19, +1.31%) said Moody's Investors Service affirmed its investment grade credit rating of Baa3 and raised its outlook to stable.
"NiSource has made great strides over the past year to enhance the company's liquidity and financial position and we're pleased Moody's has recognized our progress," NiSource said.
