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ConocoPhillips Stock: Did It Outperform Crude Oil Last Week?

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Crude oil prices moved downward

For a holiday-shortened week ended June 1, crude oil (USO) prices decreased from $67.88 per barrel to $65.81, a 3% fall. Prices fell three of the four days that week. On Tuesday, crude oil prices lost their 50-day moving average, only to regain it on Wednesday. However, crude oil failed to hold it and fell below again on Thursday.

As of June 1, crude oil’s 50-day and 200-day moving averages are $67.78 and $59.43, respectively. Crude oil is trading at $65.81 per barrel.

Last week, natural gas (UNG) prices were down marginally 0.3%. They decreased from $2.963 per mmBtu (million British thermal unit) to $2.962 per mmBtu.

ConocoPhillips stock

Despite declining crude oil (SCO) prices last week, ConocoPhillips (COP) stock rose 4%. The stock has been on a steep decline since May 22. But on Tuesday, it found support at its rising 50-day moving average and formed a reversal candle. Subsequently, on Wednesday, COP followed through to the upside.

As of June 1, COP’s 50-day moving average and 200-day moving average are $64.92 and $54.85, respectively. COP stock is trading at $68.29.

On May 23, ConocoPhillips announced a cash tender offer to purchase up to ~$1.8 billion of outstanding notes of varying maturity dates. COP stock has been on a very strong uptrend since March 20, rising 28%.

Peers

Despite lower crude oil prices last week, the Energy Select Sector SPDR ETF (XLE), which represents an energy sector of the S&P 500 Index, had a strong positive performance of 2.4%. However, COP outperformed XLE. COP’s peer Devon Energy (DVN) rose 2% last week and underperformed XLE.

In the next part, we’ll look at COP’s correlation coefficients.

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