Energy Shares Fell 2.1%

Published on Thursday, 19 November 2009 23:18 Written by Christopher Lynn

New York, Nov 19 (TradersHuddle.com) - Commodity-related stocks took a hit as the Dollar rose against both the yen and euro. Shares of energy producers and Dow components Exxon Mobil (NYSE:XOM) and Chevron (NYSE:CVX) were undermined, as oil fell for the first time in four days.

The energy sector fell 2.1% as a group, the biggest drop among the 10 key S&P 500 sectors.

The stumble in oil came amid a stronger Dollar and concerns that fuel demand will rebound at a slower pace as concerns grew that commodity prices have outpaced the economic recovery. The contract for December delivery tumbled 2.7% to settle at $77.46 a barrel.

Despite today’s drop, crude oil is poised to post a weekly gain after the Energy Department report showed an unexpected decline in U.S. stockpiles and the Organization for Economic Cooperation and Development doubled its growth forecast for the leading developed economies next year to 1.9%, while saying that mounting debt burdens will keep the expansion in check.