Indonesia Energy (NYSEMKT:INDO) stock is on the rise Monday as investors react to an energy stock rally out of Europe.
That energy stock rally was caused by the Organization of Petroleum Exporting Countries (OPEC+) decreasing its output of oil over the weekend. That comes alongside potential weakening demand. This will have OPEC+ “slash production by over 1 million barrels per day through to the end of this year.”
While this news sent energy stocks rising, especially those in Europe, it had other effects on the market as well. Specifically, the price of crude oil surged higher as reports spread that OPEC+ won’t produce as much oil as previously expected.
What This Means for INDO Stock
Indonesia Energy is an oil and gas company that mainly operates in Indonesia. With OPEC+ decreasing its oil production, this opens the way for other oil companies to benefit from increasing oil prices.
At the same time, that also drives interest from investors in these oil companies. We’re already seeing that with heavy trading of INDO stock today. As of this writing, more than 500,000 shares have changed hands. To put that in perspective, the company’s daily average trading volume is closer to 142,000 shares.
INDO stock is up 37.1% during pre-market trading on Monday!
Investors looking for more of the latest stock market news will want to stick around!
InvestorPlace is home to all of the hottest stock market news traders need to know about on Monday! That includes the biggest pre-market stock movers this morning, the latest on Digital World Acquisition (NASDAQ:DWAC) stock and more. You can find all of that news at the following links!
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On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
