The S&P Energy Index (+3.2%) is higher to start the week and is currently outperforming gains in the broader market (+1.7%).
Sector News: NOC (+5.3%) signed contracts to supply drilling equipment packages for seven drillships to Estaleiro Atlantico Sul, including drilling riser and pressure control equipment, valued at approximately $1.5 billion. RIG (+3.6%) announced an all cash voluntary offer for 100% of the shares of Aker Drilling ASA for NOK26.50 per share. The transaction is expected to be immediately accretive to RIG's earnings. DQ (+7.7%) beat on both the top and bottom lines in its second quarter report.
Broker Calls: TCPG (+6.2%) was upgraded to Outperform from Neutral at Macquarie. SUN (+4.8%) was upgraded to Outperform from Neutral at Macquarie. OAS (+2.7%) was upgraded to Buy from Neutral at UBS. CVX (+2.9%) was upgraded to Accumulate from Hold at Standpoint Research.






