Seadrill Ltd (NYSE: SDRL)
Seadrill is having an incredibly strong day in the market today. When the opening bell rang, the stock quickly found its way to the green. Since then, we’ve seen continued upward movement, bringing the stock to strong gains. Below, we’ll talk about what we’re seeing in the market, why, and what we’ll be watching for with regard to SDRL ahead.
What We’re Seeing From SDRL
As mentioned above, Seadrill is having an incredibly strong trading session today. As soon as the market opened, the stock started making a run for the top. Throughout the session, we’ve seen more of the same, bringing the stock higher and higher. At the moment (11:20), SDRL is trading at $3.74 per share after a gain of $0.34 per share or 10.15% thus far today.
Why The Stock Is Climbing
As usual, when we were notified by Trade Ideas that SDRL was headed upward in a big way, the CNA Finance team started working to see what was causing the gains. In this case, it wasn’t hard to find the news. Ultimately, the stock is not the only one in the oil industry that’s experiencing strong gains today.
The gains are the result of OPEC concerns diminishing. You see, recently, OPEC reached an agreement to reduce production of oil. However, there were questions with regard to this agreement and many were concerned that it wouldn’t do much. However, with an OPEC meeting just around the corner that will likely address these concerns, the bulls are coming out to play. As a result, Seadrill and others in the oil and energy sector are climbing.
What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will be keeping a close eye on SDRL and the rest of the oil and energy industry. At the end of the day, the industry is making a strong turnaround, and the excitement is almost too much to bear (pun intended). Anyway, we’ll keep tabs on the industry and keep you updated as the story breaks!
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[Image Courtesy of Wikimedia]