Stock Market Climbs as Chesapeake, Callon Lift Energy Stocks
Monday morning brought further gains to the stock market, building on an exceptional return last week. Investors continue to hope that the economic recovery has taken firm root, and they're looking to the Federal Reserve to indicate that it will keep providing monetary policy assistance to help push socks higher. As of just after 11 a.m. EDT, the Dow Jones Industrial Average (DJINDICES: ^DJI) was up 271 points to 27,382. The S&P 500 (SNPINDEX: ^GSPC) rose 15 points to 3,209, and the Nasdaq Composite (NASDAQINDEX: ^IXIC) picked up 25 points to 9,839.
Energy stocks have been the latest sector to rise sharply in the rally, as oil prices have started to return to more normal levels. Among the big winners on Monday morning were Chesapeake Energy (NYSE: CHK) and Callon Petroleum (NYSE: CPE), both of which had seen their share prices drop precipitously during the worst of the coronavirus bear market. Now, energy investors have gone from despair to celebration, with Chesapeake up more than 80% and Callon rising around 50%. Even so, it's tough to predict whether the stocks will sustain their upward moves or give way to another downdraft.
Image source: Callon Petroleum.
Source Fool.com
