Energy Stocks Get a Jolt — Monday’s IP Market Recap

by Kyle Woodley | January 23, 2012 4:31 pm

InvestorPlace Market Recap[1]The energy sector lit up Monday after an announcement from Chesapeake Energy (NYSE:CHK[2]) regarding its natural gas production.

Chesapeake, one of the world’s top natural gas producers and responsible for 9% of the nation’s natural gas, said it will cut back its production by 8% and heavily reduce its drilling expenditures. Natural gas prices spiked by more than 8%, and CHK — as well as other natural gas producers and even coal companies — headed higher.

Southwestern Energy (NYSE:SWN[3]) stock jumped 10.3%, Range Resources (NYSE:CCR[4]) gained 9.2%, Forest Oil (NYSE:FST[5]) was up 8.8% and CHK shares finished up 6.4%. Meanwhile, coal producers like Patriot Coal (NYSE:PCX[6], +7.6%) and Alpha Natural Resources (NYSE:ANR[7], +4.3%) also made significant gains.

Unable to find any energy of its own was Research In Motion (NASDAQ:RIMM[8]), which finished down 8.5% Monday as co-CEOs Jim Balsillie and Mike Lazaridis stepped down[9], with Thorsten Heins taking the reins. Likely fueling the negativity was Heins’ too-optimistic view of the company — upon his promotion, among other things, he said drastic change wasn’t needed at RIM[10]. Not what many investors want to hear following 2011’s bloodbath.

Three Up

Three Down

Kyle Woodley is the assistant editor of As of this writing, he did not hold a position in any of the aforementioned securities. Check out recaps from previous trading days here[18].

  1. [Image]:
  2. CHK:
  3. SWN:
  4. CCR:
  5. FST:
  6. PCX:
  7. ANR:
  8. RIMM:
  9. Jim Balsillie and Mike Lazaridis stepped down:
  10. drastic change wasn’t needed at RIM:
  11. ZAGG:
  12. KGC:
  13. YOKU:
  14. PAAS:
  15. Read more about PAAS here.:
  16. NFLX:
  17. GMCR:
  18. here:

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