LONDON (MarketWatch) — Oil- and gas-related stocks traded in London extended losses Friday after an Organization of Petroleum Exporting Countries decision not to reduce oil production.
The oil and gas group slid 2.8%, though it pared the decline by the end of the session. The sector on Thursday tumbled 3.9% after OPEC said it will maintain its current production target of 30 million barrels a day. There had been some speculation in the markets ahead of OPEC’s meeting in Vienna that the cartel would reduce output, in an effort to stop a recent drop in global oil prices.
U.S. crude-oil futures CLF5, -10.45% dropped to a more than four-year low, a decline of nearly 9%, to trade just above $67 a barrel. January Brent crudeLCOF5, -3.53% managed to turn slightly higher after Thursday’s session, during which Brent futures hit their lowest since August 2010. Brent is the global oil benchmark.
Shares of BG Group BG., -8.77% tumbled 8.9%, logging the sharpest decline on the benchmark FTSE 100 as they also recorded their biggest loss since late January. The oil-exploration company is also dealing with pushback from some shareholders over its pay-and-bonus package plan for incoming chief executive Helge Lund.
Shares of Tullow Oil PLC TLW, -8.37% were yanked 8.2% lower, and energy engineering firm Weir Group PLC WEIR, -4.29% fell 4.1%. Oil major Royal Dutch Shell PLC RDS.B, -7.31% ended down 1.6% and BP PLC BP., -1.41% BP, -5.46% lost 1.2%.
The FTSE 100 UKX, -0.01% ended down less than 1 point at 6,722.62, with losses limited in part by gains among shares of travel companies, which can be sensitive to oil prices. Cruise-ship operator Carnival PLC CCL, +4.56% topped the benchmark as they jumped 4.5%. TUI Travel PLC TT., +2.63% gained 2.6% and easyJet PLCEZJ, +1.22% tacked on 1.2%.
The FTSE 100 ended the week down 0.4% but closed November higher by 2.7%, its best monthly run since April.
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This event is free, but RSVPs are required. It will be held Wednesday evening, Dec. 3, in London. For more information or to RSVP, send an email to marketwatchevent@wsj.com.