The S&P Energy Index (+1.7%) is trading higher this morning and is easily
outperforming the modest gains in the broader market (+0.1%).
Sector News: EP (+7%) shares are higher guided FY11 EPS in-line with
consensus; raised E&P Capital by $300 million to $1.6 billion to increase its
Eagle Ford Central oil shale program. FRO (-6%) shares are weaker this morning
following reports that the co's VP said that more consolidation is needed to
ride out crisis in oil tanker market. MRO (+2.8%) reported that the IRS has
provided a favorable private letter ruling confirming the tax-free status of the
planned spin-off of the Company's downstream business.
Broker Calls: CRZO (+6.7%) was upgraded to Outperform from Market Perform
at Wells Fargo. LUKOY (-0.2%) was downgraded to Neutral from Buy at Goldman. PVA
(+3%) was upgraded to Buy from Neutral at SunTrust. ROSE (+3.6%) was upgraded to
Positive from Neutral at Susquehanna. DO (+1.7%) was removed from Conviction Buy
List at Goldman. OGZPY (+3.2%) was downgraded to Neutral from Buy at Goldman.
GOK (-1.7%) was downgraded to Market Perform at Howard Weil.






