Energy Stocks Lose Steam Early
This morning, the leading energy stocks are coming under early selling pressure. The catalyst for the early decline in many of the energy stocks is due to the stronger U.S. Dollar Index. When the U.S. Dollar Index trades higher on the trading session the major energy and commodity stocks will come under selling pressure.
Exxon Mobil Corp.(NYSE:XOM) is the most important integrated energy stock in the market. This stock also has the largest market capitalization in the world, therefore, when XOM stock moves the markets will move. The stock is trading lower by 0.82 cents to $73.46 a share. Traders can watch for intra-day support around the $73.00, and $72.00 levels.
Other leading energy stocks that are declining lower this morning include Chevron Corp.(NYSE:CVX), ConocoPhillips(NYSE:COP) and Devon Energy Corp.(NYSE:DVN). Traders must keep a close eye on the U.S. Dollar Index. Should the U.S. Dollar Index begin to fade or decline throughout the trading session it would be prudent to expect the energy stocks to bounce higher off the morning lows. On the flip side, if the U.S. Dollar Index begins to rally or trade higher traders should expect the energy stocks to come under further selling pressure.