ExxonMobil’s stock saw an impressive 8% gain this week.
ExxonMobil, an American oil and gas giant, is one of the world’s largest energy companies. It traces its origins back to the Standard Oil Company founded by John D. Rockefeller. Over the years, it has taken the lead by investing in the development of new energy sources and acquiring its competitors.
Why is ExxonMobil’s stock on the rise?
Eight members of OPEC announced their intention to further cut oil production in May, which will result in a global supply drop. As a result, oil prices have gone up, and this trend is expected to continue for some time.
This decision by OPEC and its allies is aimed at keeping oil prices high, which translates into higher profits. Last month, light sweet crude prices dropped by 40% from their peak in June, making it necessary to take action.
You can ride this trend by opening a trade on ExxonMobil’s stock in Forex mode on our platform
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