Bad news: US employment data paints grim picture
US jobs data sends stocks diving
Shares in contractor companies tumbled today as oil dropped to below $67 a barrel on news that unemployment in the US rose to a 26-year high.
Data released yesterday showed that US employers had shed 467,000 jobs in June, taking the shine off prospects for an economic recovery.
The biggest drop today was seen by Seajacks International whose share price plummeted 10%. Meanwhile, Pioneer Drilling and Helix Energy both saw drops of 9.74% and 9.48% respectively.
Nymex floor trading will be closed today for the US Independence Day holiday, but yesterday, the Philadelphia Oil Service Index dropped 4.6% to 152 on the news, off 6.3% in the past week.
Biggest losers in yesterday’s trade were US rig company Transocean, Baker Hughes and Schlumberger.
Shares in Transocean dropped 9.39% while Baker Hughes and Schlumberger saw a drop of 5.95% each.
US crude for August delivery slipped 9 cents to $66.64 a barrel by 0808 GMT today while London Brent crude fell 14 cents to $66.51.