Oil Prices Soar on Monday, Energizing Stocks and Fuel Funds

The price of oil jumped on Monday, boosting energy stocks and fuel-tracking funds. WTI crude rose by 4.5% to $104.50, while Brent increased by the same percentage to $109.32.

Natural gas futures also climbed 1.4% to $2.87 per million British thermal units, driving up the United States Natural Gas Fund by 1.8%. The Energy Select Sector SPDR Fund, an ETF of large US energy stocks, rose 1.6% as well.

Several company announcements contributed to the upbeat market sentiment. Venture Global and China Gas signed a 20-year deal for 0.5 million tonnes per year of US liquefied natural gas starting in 2030. ExxonMobil has also raised its LNG sales forecast, despite some countries reconsidering their reliance on the fuel due to the war in the Middle East.

Chevron is considering expanding its global gas business into the Mediterranean and Argentina to meet growing demand. However, it's essential to note that a one-day jump in oil or natural gas prices doesn't always translate directly to the United States Oil Fund or United States Natural Gas Fund. These funds use futures contracts, which can result in different returns over time.