Energy companies, and the actual energy resources themselves, have become a massive talking point in recent months.
At the end of last year, the focus was on energy providers which operated across the British domestic market, when over 30 providers of energy to domestic homes and businesses in Britain suddenly became insolvent and exited the market.
This took place during a time at which the cost of buying the materials which are refined into energy products, such as crude oil and natural gas, were rising in value and the supply and logistics costs to bring them to the British market (and other European markets) was very high and could not be passed on to customers, hence so many companies which provide energy to British customers becoming insolvent.
A few months later, the problem is now a major concern across all of Europe and North America, as the cost of living crisis rolls on, inflation soars and sanctions against Russia, one of the world's most important oil and gas suppliers, have been installed in a highly draconian fashion.
This has pushed up the price of crude oil and natural gas as raw materials, and supply from Russia to Europe has become scarce, as well as having to be settled in Rubles.
These added fiscal considerations have been piling up and as if they are not already massively concerning in their own right, have come about in an environment which was already expensive and in some cases unsustainable.
Therefore, the focus is on energy companies once again, and over the past few days it has been American energy giant EOG Resources (formerly Enron Oil and Gas), listed on the New York Stock Exchange and a S&P500 component, that is drawing the attention of analysts.
At close of business on Friday last week, EOG Resources was fourth on the list of US market 'big movers' and had lost 2.66% in a sharp drop in value during the US trading session on Friday, after a sudden rise in share prices during the early part of the week.
Over the five day moving average, EOG Resources stock went up in value from $139.96 per share on June 6, to a lofty $147.07 just two days later toward the end of the New York session, leading to a six-month high of $145.43 on June 8 before tanking on Friday.
Now that's volatility!
Reports last week all over the mainstream financial press looked at a speculatory viewpoint, asking if EOG Resources stock had peaked, and yet despite its sudden drop on Friday, it is still trading at $141.56 which is 56% higher than this time six months ago.
One thing is for sure: Energy, whether it's the companies that provide it, or the actual fuel material itself, is a hot topic right now.
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