OPEC+ Production Cut Sends Shockwaves Through Oil Sector
OPEC+ announced unexpected cuts in oil production starting in May, which caused oil prices to surge and the shares of many oil and gas exploration and production companies to rise as well. The production cuts will last through the end of the year and are expected to benefit companies that benefit from higher oil prices, particularly exploration and production companies. Smaller firms moved up the most in response to the news, indicating an appetite for risk among investors. Major oil and gas companies like Exxon Mobil and Chevron are also expected to benefit.