Aug 30 (Reuters) – Hurricane Ida pounded Louisiana after sweeping ashore from the Gulf of Mexico, flooding wide areas under heavy surf and torrential rains as fierce winds toppled trees and power lines, plunging New Orleans into darkness after nightfall.
The U.S. National Hurricane Center said on Monday the hurricane has weakened into a tropical storm over southwestern Mississippi.
Following is a list of stocks and sectors that could be impacted by the hurricane:
While oil prices retreated from four-week highs, U.S. gasoline futures spiked because of widespread production shutdowns.
Gulf of Mexico offshore wells account for 17% of U.S. crude oil production, 5% of dry natural gas production, while more than 45% of total U.S. refining capacity lies along the Gulf Coast.
PBF Energy Inc (PBF.N), Valero Energy Corp (VLO.N), Exxon Mobil Corp (XOM.N), Phillips 66 (PSX.N), Marathon Petroleum Corp (MPC.N), Chevron Corp (CVX.N), Noble Corp (NE.N), Occidental Petroleum Corp (OXY.N), W&T Offshore (WTI.N) were marginally higher in premarket trading.
Power was knocked out Sunday night to the entire New Orleans metropolitan area following the failure of all eight transmission lines to the city, while over a million customers in Louisiana were without power. read more
Shares in Entergy Louisiana (ELC.N) were up over 1% in thin trading, while Entergy Corp (ETR.N) slipped 0.5%.
Department store operator Kohls Corp (KSS.N) said five of its stores in Louisiana and one in Mississippi are temporarily closed. Its shares edged down before the bell.
Shares of chemicals maker Dow Inc (DOW.N) were flat even as it said it shut down its manufacturing operations in Louisiana.
All eyes will be on insurers and reinsurers in the coming weeks as they report potential claims for damages caused by the hurricane.
Allstate Corp (ALL.N), Chubb , CNA Financial Corp (CNA.N), Travelers Companies Inc (TRV.N), Progressive Corp (PGR.N) and American International Group Inc (AIG.N) are among some of the property, casualty and reinsurers stocks to watch.
FREIGHT AND LOGISTICS
Shares of USA Truck (USAK.O), XPO Logistics (XPO.N), Old Dominion (ODFL.O) and JB Hunt Transport Services Inc (JBHT.O) were flat in premarket trading.
Reporting by Sruthi Shankar in Bengaluru; Editing by Arun Koyyur
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