ConocoPhillips Stock Is Outperforming Crude Oil Prices



Crude oil and natural gas prices

For the week ending June 23, crude oil (USO) prices continued their weekly declining trend. Crude oil prices fell from $44.97 per barrel to $43.01 per barrel, a decrease of ~4%. This fall was the fifth consecutive weekly decline for crude oil prices. Natural gas (UNG) prices were also down ~4% last week.

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Despite weaker crude oil (USO) prices, ConocoPhillips (COP) outperformed crude oil and natural gas prices. The COP stock price fell ~4% from $46.53 to $44.83. On Monday, failing to capitalize on last week’s gains, COP’s stock started the week on a negative note. A strong gap down on Tuesday made things worse for COP. Subsequently, on Wednesday and Thursday, COP stock closed down, followed by flat price action on Friday.


Due to a decline in crude oil and natural gas prices last week, the Energy Select Sector SPDR ETF (XLE) underperformed the S&P 500 ETF (SPY). SPY was almost flat, whereas XLE was down close to 3% last week. COP’s peers Marathon Oil (MRO) and Devon Energy (DVN) fell ~8% and ~4%, respectively, last week. Just like ConocoPhillips, DVN has operations in US resource plays. XLE invests at least 95% of its total assets in oil and gas companies. 

In the next part of this series, we’ll take a look at COP’s implied volatility.


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