DRONE ATTACK CAUSES OIL PRICE SPIKE

US oil producers in the S&P 500 surged on Monday as crude prices surged following a drone attack on
Saudi Arabian facilities that wiped out 5% of the world's supply.

The sector jumped after Saturday drone strikes wiped out much of Saudi Arabia's oil production. The
price of crude oil spiked more than 20%, marking the biggest intraday increase since 1988.

The Saturday attack "effectively eliminates the world's spare capacity," S&P Global Platts global head of
market insight Sarah Cottle told CNBC.

US gasoline companies also rose on the news. Exxon Mobil rose about 3.3% in early trading, and
Chevron jumped 3.4%.

Brent crude oil trades at $66.71 per barrel as of 9:00 a.m. ET Monday, up about 10.8% from the last
closing price. If the disruption to the global oil supply chain lasts more than six weeks, prices could reach
$75 per barrel, Goldman Sachs analysts said.

Stocks are plunging as traders pile into havens after a drone strike slashed Saudi oil.

Source: https://markets.businessinsider.com/commodities/news/us-oil-companies-stock-price-spike-
saudi-attacks-supply-2019-9-1028527077