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A big rally in oil futures sent an array of U.K. energy company stocks higher on Thursday.
Oil giant Royal Dutch Shell jumped over 7%, and smaller oil companies including John Wood WG, +16.12% and Cairn Energy CNE, +10.78% enjoyed even stronger gains. Those two companies have each lost more than 60% of their value as oil prices have plunged due to the combination of the COVID-19 crushing demand and Saudi Arabia increasing supply.
Oil futures surged on a combination of hopes that Saudi Arabia and Russia can mend their differences, as well as a report China was building strategic stockpiles.
The FTSE 100 UKX, +1.24% more broadly edged up 0.3% in afternoon trade.
Cruise operator Carnival CCL, -20.21% meanwhile skidded 18% after pricing a stock offering at $8 a share, against Monday’s close of $8.80. Carnival also decided to shift its fund raising in favor of more debt and less equity.
Recruiting firm Hays HAS, -12.66% lost 10% after announcing a stock offering of approximately £200 million and cancelling a planned dividend.
