By Steve Gelsi
NEW YORK (MarketWatch) -- Energy stocks moved lower on Monday despite a big merger in the oil service sector. The NYSE Arca Oil Index (XOI 1,037, -7.31, -0.70%) fell 0.2% to 1,041. The NYSE Arca Natural Gas Index (XNG 539.80, -6.02, -1.10%) dropped 0.5% to 543. The Philadelphia Oil Service Index (OSX 204.50, -0.77, -0.38%) fell fractionally to 205. Schlumberger (SLB 59.97, -3.93, -6.15%) fell 6.2% to $59.97 after it said it would pay about $11 billion in stock to buy Smith International (SII 39.99, +2.29, +6.07%) . Shares of Smith International rose 6.2% to $40.02.
