Mainstream blue-chip gauges ran higher on Thursday, Sept. 5, after U.S. and Chinese officials declared a possible resumption of trade talks. Investor sentiment was positive on the heels of an economic report that the private sector added 195,000 jobs in August.
Most oil stocks were in line with the broader market, though the utilities sector overall posted losses.
The Dow Jones Industrial Average grew 1.41% to 26,728.15, and the S&P 500 rose 1.30% to finish the day at 2,976.00.
In the oil and gas sector, Equinor ASA stock listed on New York Stock Exchange climbed 6.74% to $18.37 on high volume. The Norwegian oil giant and its partners are preparing to begin production from the Johan Sverdrup project earlier than expected, scheduling it for October.
Pioneer Natural Resources Co.'s shares climbed 3.51% to finish an average session at $128.54. The company's CEO, Scott Sheffield, said at the Barclays Energy-Power CEO Conference in New York that the decision to center its operations in the Midland Basin is providing it with favorable returns.
Exxon Mobil Corp. shares were up 1.41% at the close of a below-average session to $70.27. The oil major has reportedly agreed to divest its Norwegian oil and gas assets for up to $4 billion.
MPLX LP units added 0.96% in slow trading to $28.50. The partnership has priced an underwritten public offering of $2 billion of senior unsecured notes, composed of $1 billion of floating-rate senior notes due 2021 and $1 billion of floating-rate senior notes due 2022.
Tellurian Inc. shares grew 1.33% to $6.86 on low volume. The company has identified all of the partners it needs to secure sufficient funding for the first phase of its proposed Driftwood LNG export project in Louisiana.
Enable Midstream Partners shares settled 2.10% lower at $12.11 on slightly above-average volume. The company has priced an offering of $550 million of its 4.150% senior notes due 2029, priced at 99.821% of their face value.
Concho Resources Inc. shares shrank 3.58% to $70.36 in strong trading after CEO Timothy Leach took the opportunity at the Barclays CEO Energy-Power Conference to try to calm shareholder concerns over his company's approach. The company's shares slumped in August after it had blundered by drilling wells too closely together in the Delaware Basin's Wolfcamp Shale.
Among big movers in the sector, National Oilwell Varco Inc. stock jumped 6.33% to $22.00; Range Resources Corp. stock moved up 5.30% to $4.17; and Baker Hughes a GE company saw shares pick up 4.02% to $23.52, all in roughly average trading.
The S&P 500 Energy Index increased 1.27% to 431.01, and the Alerian MLP Index was unchanged at 231.29.
In the electric and diversified utilities sector, Otter Tail Corp. stock picked up 1.20% to wrap an active session at $52.15. Fitch Ratings upgraded Otter Tail utility Otter Tail Power Co.'s short-term issuer default rating, or IDR, to F2 from F3.
NextEra Energy Inc. stock lost 1.92% to wrap a heavy session at $219.81. The company plans to sell $1.5 billion of equity units in a stated amount of $50 apiece.
Southern Co. shares gave away 1.01% in active trading to close at $59.50. Its utility Georgia Power Co. has sold $700 million of senior notes to repay outstanding commercial paper borrowings. Southern Co. is one of the utility holding companies whose service territories lay in the path of Hurricane Dorian.
Sunrun Inc. and software partner Open Access Technology International Inc. plan to provide utility Hawaiian Electric Co. Inc. with grid services from one of the world's largest virtual power plants starting in 2020. Hawaiian Electric Industries Inc. shares shed 1.09% to close at $44.50, and Sunrun inched down 0.20% to $15.30, both on light volume.
In the coal business, Peabody Energy Corp. stock slid 10.97% to $16.56 on more than double average volume after the company announced refinancing of its term loan and revolver to accommodate a recently announced joint venture with Arch Coal Inc., to increase financial flexibility, extend debt maturities and increase pre-payable debt.
The S&P 500 Utilities Index decreased 1.19% to 318.15. Among those with considerable losses, Edison International shares chipped off 2.56% to $71.31 on average volume, and WEC Energy Group Inc. stock lost 2.38% to $95.33 in brisk trading. Among gainers in the sector were Vistra Energy Corp., up 1.82% to $25.68; Pattern Energy Group Inc., advancing 1.48% to $27.42; and PPL Corp., which picked up 1.41% to $30.11.
Market prices and index values are current as of the time of publication and are subject to change.
