Energy sector leads gains as Woodside and Santos rally
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The news: Energy stocks led gains on the ASX as crude prices steadied following their biggest jump since July.
The numbers: The energy sectoral index was up 1.6% at 1pm AEST. Oil giants Woodside Energy (+2.4%) and Santos (+1%) were both trading higher, as were smaller producers Karoon Energy (+6.1%), Beach Energy (+2.8%) and Ampol (+1.8%).
Brent crude jumped 2.5% on Wednesday to trade above USD69 a barrel. It was last down to USD68.28.
The context: The rally followed comments by US President Donald Trump that were seen to heighten geopolitical risk. Trump said that NATO nations should shoot down Russian aircraft that violated their airspace and that Europe should stop purchasing energy from the OPEC+ member.
Meanwhile, US government data showed nationwide crude inventories declined to the lowest since January, adding to the bullishness.
The source: Bloomberg
