Energy stocks sell off on Monday, leading the decline on Wall Street amid a sharp pull back in oil and natural gas prices. Despite the retreat, energy stocks maintain a bullish outlook.
Oil is likely to remain supported in the short term amid expectations Europe will soon announce a plan to ban Russian oil imports and bets that the JCPOA nuclear deal will not be reinstated soon.
The U.S. economy takes a turn for the worse and contracts during the first quarter of the year, weighed down by a negative contribution from net exports and inventories.
The first quarter was quite eventful for Wall Street, but the war in Eastern Europe was clearly a standout. Geopolitical tensions rattled financial markets, weighed on equities, and sparked a commo.
WTI prices rise on Monday following news that Libya has temporarily suspended production at its largest oilfield and reports that the EU is drawing up a plan to ban Russian petroleum imports.