The S&P 500 Energy sector is veering toward a correction, although it pared losses as the Thursday session progressed. The sub-index closed at a high of 430.34 points on June 15, and it is currently trading at 382.90.
The correction level to watch is 378.30 points, which would be the third correction of 2021 for the energy sector. Among the biggest decliners Thursday are some of the biggest names in West Texas’s Permian Basin, Diamondback Energy Inc. FANG, -3.36% and Pioneer Natural Resources Co. PXD, -3.01% Oil prices extended losses on Thursday after data showed a rise in U.S. fuel supplies.