Shares of energy companies rose amid deal activity.
Southwestern Energy and Chesapeake Energy neared a merger that would create a roughly $17 billion company ranking as one of the largest natural-gas producers in the U.S.
Domestic oilfields have seen a spate of mergers, including Exxon Mobil's agreement to buy Pioneer Natural Resources, and Chevron's deal to buy out Hess.
Natural-gas futures hit their highest levels since November as the weather forecast for much of the U.S. turned chilly following a mild December.
West Texas Intermediate crude for February delivery rose $1.62, or 2.2%, to settle at $73.81 a barrel, amassing a 3% weekly gain.
"As of now, the oil market sees the Middle East conflict contained, because if they didn't you'd see oil futures surging higher," said Quincy Krosby, chief global strategist at brokerage LPL Financial.
"Certainly, with the U.S. engagement in the Red Sea and the move from Iranm with its military presence, not to mention their surrogates surrounding the U.S.: it's one of those scnearios in which a mistake can happen," Krosby said.
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
01-05-24 1733ET
