US energy stocks join European peers’ rally after surprise oil output cut – Reuters

US energy stocks join European peers’ rally after surprise oil output cut – Reuters

April 3 (Reuters) - U.S. energy stocks hit an over one-month high on Monday, following a rally in European peers as crude prices rose more than 6% following a surprise announcement by Saudi Arabia and other OPEC+ oil producers to cut production.

The S&P 500 energy index (.SPNY) added 4.2%, eying its best day in six months, while the benchmark S&P 500 (.SPX) traded flat.

OPEC+ on Sunday announced further oil output cuts of around 1.16 million barrels per day, in a surprise decision that analysts said would cause an immediate rise in prices and the United States called inadvisable.