Why The Origin Energy Share Price is Up Today

trading floor
Reddit

What happened to Origin’s share price?

Origin Energy Ltd [ASX:ORG] is trading 3% higher today at $12.00.
However, the longer term trend doesn’t look great. From a peak of $16.12 in September last year, ORG has lost more than 25%. It began to stage a recovery in mid-February, but it wasn’t sustained, and ORG has been in a downtrend since.
But it’s not just Origin trading higher today – a number of energy stocks are higher this afternoon. Senex Energy Ltd [ASX:SXY] is up 1.61%, and Santos Limited [ASX:STO] is up 2.10%.

Why are ORG shares higher?

The share price rise come off the back of a rebound in oil prices overnight. Brent crude gained US$1.00, rising to US$57.80 per tonne, while WTI crude is 0.7% higher at US$50.79 per tonne.
The oil price bounce followed falls of around 6% in both Brent and WTI on Wednesday. And since mid-2014, when it was trading well above $100 per tonne, oil has more than halved in price.

What now for Origin Energy Ltd?

Despite last night’s moves, there’s doubt that oil prices have yet to reach a floor. If oil prices do fall lower, we can expect ongoing pain for Origin and the wider energy sector.

Regards,

Meagan Evans,
for The Daily Reckoning Australia

Join The Daily Reckoning on Google+

Meagan Evans
Meagan Evans, has seen from the inside of the investment industry how easy money can lead to bad management decisions. She holds a degree in Finance and a Master’s in Business Administration and, as a Certified Financial Technician, Meagan employs both technical and fundamental analysis to make solid investment decisions
Reddit

Leave a Reply

Be the First to Comment!

Notify of
avatar
wpDiscuz
Letters will be edited for clarity, punctuation, spelling and length. Abusive or off-topic comments will not be posted. We will not post all comments.
If you would prefer to email the editor, you can do so by sending an email to letters@dailyreckoning.com.au