Oil service stocks are seeing considerable strength during trading on Wednesday, benefiting from a notable increase by the price of oil. The move comes as the day's inventory data showed a significant increase in refinery demand even though overall oil inventories rose.
The strength in the oil service sector is reflected by the 2 percent gain currently being shown by the Philadelphia Oil Service Index. The index is moving higher for a fifth straight session, reaching its best intraday level in six weeks.
The price of oil is moving notably higher, contributing to the strength among oil service stocks. Crude for April delivery is currently up $1.14 at $80.82 a barrel.
The price increase comes after a report from the Energy Information Administration showed that crude oil inventories rose by 4.1 million barrels in the week ended February 26th. Analysts had been expecting a much more modest increase of about 1.1 million barrels.
Despite the surge in inventory levels, refinery demand has picked up the slack, as utilization has risen roughly 4 percentage points since late January to 81.9 percent.
The report also showed that gasoline inventories fell by 900,000 barrels last week but remain above the upper limit of the average range. An increase of 1.3 million barrels had been forecast.
Within the oil service sector, Oceaneering International Inc. (OII) is turning in one of the best performances, advancing by 2.5 percent. At its high for the session, Oceaneering was at its best price in nearly two months.
Cameron International Corp. (CAM) and Halliburton Co. (HAL) are also moving notably higher, rising by 3 percent and 2.7 percent, respectively. The stocks reached their best intraday levels in well over a month in earlier trading.
Baker Hughes Inc. (BHI) helped to lead the sector higher earlier and is now up by 2 percent. At its highs for the session, the stock was at its best price in over a year.
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June 12, 2026 17:14 ET Major central bank action was the focus this week in economic news. The European Central Bank became the first major central bank to move in response to the rising inflationary pressures in the backdrop of the conflict in the Middle East. In North America, the U.S. inflation and trade data as well as Canada’s central bank decision gained attention. The Chinese trade data was the main news in Asia.