Energy stocks fell sharply Friday as crude oil crashed 11.45% on the reopening of the Strait of Hormuz. Oil & gas exploration and production (E&P) names and oilfield services companies led the declines.
ExxonMobil closed down approximately 5%, Chevron down 4%, ConocoPhillips down 6%, and Permian pure-plays Diamondback (FANG) and Devon Energy (DVN) down 7-8%. Oilfield services names Schlumberger, Halliburton, and Baker Hughes also declined 5-7%.
Refiners were more mixed. Marathon Petroleum (MPC), Valero (VLO), and Phillips 66 (PSX) were modestly lower as compressing crack spreads offset the benefit of cheaper crude input costs.
LNG names Cheniere (LNG) held up relatively well given their contracted revenue model. Integrated majors (XOM, CVX) outperformed pure-play E&Ps due to downstream diversification.